A neutral-form legal charge (mortgage) over real property between a Mortgagor (borrower) and a Mortgagee (lender), securing the borrower's obligations under a loan/facility agreement, governed by the law of England & Wales.
How to use this template - Replace every
[SQUARE-BRACKET]field before use. - A legal mortgage of land must be made by deed (Law of Property Act 1925, s 87). For registered land, the charge must identify the property by title number and is completed by registration at HM Land Registry (a legal charge may be made in Form CH1); the charge is not fully effective as a legal charge until registered. - Mortgages are high-value security documents, a solicitor must review and adapt this before use, and a lender will normally use its own approved form.
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THIS MORTGAGE (by way of legal charge) is made as a deed on [DATE]
BETWEEN (1) [MORTGAGOR / BORROWER NAME] of [ADDRESS] (the "Mortgagor"); and (2) [MORTGAGEE / LENDER NAME] of [ADDRESS] (the "Mortgagee").
Background
(A) The Mortgagee has agreed to provide the Mortgagor with a facility on the terms of a facility/loan agreement dated [DATE] (the "Facility Agreement"). (B) The Mortgagor has agreed to grant this Mortgage as security for the Secured Obligations.
1. Definitions
- "Property": the freehold/leasehold property known as [ADDRESS], registered at HM Land Registry under title number [TITLE NUMBER] [or, if unregistered, described in Schedule 1].
- "Secured Obligations": all money and liabilities now or in future owing by the Mortgagor to the Mortgagee under the Facility Agreement and this Mortgage.
2. Covenant to pay
The Mortgagor will pay or discharge the Secured Obligations when due in accordance with the Facility Agreement.
3. Charge
As a continuing security for the Secured Obligations, the Mortgagor with full title guarantee charges the Property to the Mortgagee by way of legal mortgage.
4. Mortgagor's covenants
The Mortgagor will: (a) keep the Property in good repair; (b) insure the Property to full reinstatement value and produce evidence on request; (c) pay all rates, taxes and outgoings; (d) not grant any lease or part with possession without the Mortgagee's prior written consent; and (e) not create any further mortgage or charge over the Property without consent.
5. Powers on default
On an event of default (as defined in the Facility Agreement), the Secured Obligations become immediately payable and the Mortgagee may exercise its statutory powers, including the power of sale and the power to appoint a receiver (as conferred and varied by the Law of Property Act 1925), free of the restrictions in s 103 of that Act.
6. Further assurance and registration
The Mortgagor will do all things reasonably required to perfect this security, and consents to registration of this Mortgage at HM Land Registry, including any restriction in the register.
7. Governing law and jurisdiction
This Mortgage is governed by the law of England and Wales, whose courts have exclusive jurisdiction.
Execution (as a deed)
Executed as a deed by [MORTGAGOR]: __________________ in the presence of [WITNESS NAME, ADDRESS, SIGNATURE]. Executed as a deed by [MORTGAGEE]: __________________ [as applicable].
Schedule 1, Description of the Property (if unregistered)
--- This template is a starting point and not legal advice. A mortgage over land is a significant security document with strict execution and registration requirements, have a qualified solicitor review and adapt it before use. Governing law: England & Wales.