Understanding Uk Mortgage Law

Summary

In UK property law, a mortgage is a loan secured by property. The relationship between mortgagor and mortgagee is contractual, emphasizing commercial freedom. Courts protect against harsh terms, and legislation offers additional protection for non-commercial mortgagors. The right to redeem allows borrowers to repay and reclaim property, with courts striking out any obstructive terms.

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yeah i was studying about mortgages of UK property law can u explain the concept
Sure! In UK property law, a mortgage is a loan taken out to buy property or land. Key points include:
- Security: The property acts as security for the loan.
- Repayment: Typically repaid over 25 years, can be shorter or longer.
- Interest Rates: Can be fixed or variable.
- Rights: Lender has rights to repossess if repayments are not met.
Is there a specific aspect you need more detail on?
The tension in the relationship between mortgagor and mortgagee is that a mortgage is a contract, and freedom to contract is an important commercial principle. Increasingly, and to some extent historically, the courts aim to protect those who have entered into a contract on harsh or unconscionable terms. With the increase in non-commercial mortgages there has also been legislative protection for mortgagors. A key feature of a mortgage is the right to redeem the debt (to kill (mort) the pledge (gage)) and reclaim the land free from debt. The courts have established principles for striking out attempts to remove or delay the right to redeem. These ‘clogs and fetters’ on the right to redeem will be struck out by the court while the mortgage remains intact.
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It looks like you're studying the relationship dynamics in mortgages. Here's a summary:
- Mortgage as a Contract: It's a binding agreement highlighting the commercial freedom to contract.
- Court Protection: Courts protect against harsh or unfair terms.
- Legislative Protections: More laws now protect non-commercial mortgagors.
- Right to Redeem: The borrower can repay the debt and reclaim the property.
- Clogs and Fetters: Courts remove any terms that obstruct the right to redeem.
Is there a specific question or aspect you need further clarification on?