Mortgage is defined under sec 58 of Transfer of Prop Act, 1882.
•Mortgage means: convey or transfer any specific immovable property to a creditor as a security of loan.
A mortgage is a transfer of an intrest in specific immovable property for the purpose of securing payment.
1. Person who transfer the property is called Mortgagor/Transferor.
2. Person to whom the intrest of property transferred is called Mortgagee/Transferee.
3. Payment/principal money or such advanced money is called Mortgage-money.
4. The instrument/document by which the transfer effected is called mortgage-deed.
•Types of mortgage:
1. Simple mortgage:
(a) without delivering possession/ no possession delivered,
(b) mortgagor binds himself personally by undertaking/registered instrument,
(c) there is no foreclosure.
2. Mortgage by conditional sale:
(a) mortgagor ostensibly sells mortgaged property to mortgagee,
(b) such ostensibly sale become absolute on default of payment of mortgage money.
(c) such ostensible sale become void on the payment of money,
(d) no possession delivered.
3. Usufructuary mortgage:
(a) delivery of possession to mortgagee,
(b) mortgagor authorise mortgagee to recieve the rents and profits accruing from the property,
(c) mortgagee is entitled for all the rents and profits of such mortgaged property until the payment of mortgaged money satisfied.
(d) mortgagee cannot sale the property.
4. English mortgage:
(a) mortgagor binds himself personally to repay the mortgage debt on certain date.
(b) mortgage property absolutely transferred to mortgagee,
(c) such absolute transfer made subject to condition that: mortgagee will retransfer the property to mortgagor upon repayment of money.