Mortgage Deed

What is a Mortgage Deed?

A deed of mortgage is a legal document that works as evidence of an agreement between the borrower and the lender, where the borrower pledges a property to a lender as security for a loan.

The deed works as a document that outlines all the terms and conditions of the mortgage, i.e., loan details, property description, rights, and both parties' obligations, as well as consequences in case of default.

The mortgage deed plays a vital role in giving clarity and protecting both lenders and borrowers when they are involved in property-backed loan transactions. It ensures transparency in rights, obligations, and remedies to people involved in availing and offering loans against property.

Why Choose DigiLawyer for a Mortgage Deed?

If you are planning to give or take a mortgage loan, DigiLawyer can help you with multiple things, like drafting your deeds, verifying property ownership or titles, reviewing errors/frauds, and providing legal assistance. We can also assist you with various other services, such as verifying a property's legal status, identifying any outstanding claims or loans, and managing other complex processes to ensure legal compliance and protect your rights.

Expert Lawyers

You can consult with experienced, licensed lawyers who review, sign, and stamp your mortgage deed and make sure it holds legal weight.

Easy and Convenient

No office visits. No waiting in queues. Access professional legal services anytime, anywhere, 100% online, right from your phone or laptop.

Secure & Confidential

We take your privacy seriously. All your data and documents stay encrypted, confidential, and protected with industry-grade security.

Clear and Transparent

Flat, upfront pricing with complete transparency. You’ll always know what you’re paying for - no fine print, no extra fees.

For Borrower/Lender

Whether you're a borrower or lender, DigiLawyer would ensure all the legal requirements are met easily, reliably, and effectively.

Download or Get It Delivered

Instantly download a legally sound Mortgage Deed format PDF online or have a printed copy of completed registered mortgage papers delivered directly to your doorstep with tracking & proof of dispatch.

How Can DigiLawyer Help You with a Deed of Mortgage? 

DigiLawyer has a team of expert lawyers who have been offering services for many years. Here’s how we can help: 

What Documents are Required for the Mortgage Deed in India? 

Here is the list of documents required for the deed: 

* Please note that additional documents might also be required during loan processing. 

Other Legal Requirements for a Mortgage Deed in India

In addition to drafting and signing the deed, several legal formalities must be fulfilled to ensure its enforceability:

➤ Stamp Duty: Mortgage deeds must be executed on non-judicial stamp paper of appropriate value as per the state-specific Stamp Duty laws. The amount of stamp duty varies depending on the state and the type of mortgage (simple mortgage, equitable mortgage, etc.).

➤ Registration: Under the Registration Act, 1908, certain types of mortgages (especially simple mortgages) must be registered with the Sub-Registrar's office to be legally valid. Registration involves payment of registration fees and physical appearance or representation through a power of attorney.

➤ Witnesses: The deed must be signed in the presence of at least two witnesses, who must also provide their details and signatures on the document.

➤ Notarization (if applicable): Though not mandatory for all mortgage deeds, notarization might be required by certain lenders or jurisdictions to enhance document credibility.

➤ Physical or Digital Submission: After stamping and signing, the mortgage deed may be submitted physically or digitally (depending on the state) for registration or for lender records.

Key Eligibility Criteria for Loan Against Property in India 

Here is the key eligibility criteria for the Mortgage Deed in India: 

• Age: Most lenders require salaried applicants to be between 23 and 67 years, and self-employed applicants between 23 and 70 years, with the upper age considered at loan maturity and subject to specific lender policies. 
• Income: A stable source of income must be demonstrated. Salaried individuals need a regular job, while self-employed applicants require proof of consistent business income. 
• Credit Score: A healthy credit history and score (typically above 750) are important to qualify. 
• Residential Status: Must be an Indian resident with a clear, marketable property title, preferably in a location approved by the lender. 
• Property Validity: The property being mortgaged must be free from legal disputes and well-documented with clear title deeds. 
• Documentation: Key documents include ID/address proof, income proof, and detailed property documents like the sale deed, valuation report, and title papers. 

Governing Laws  

Here are the key laws that govern the deed of mortgage in India: 

• Transfer of Property Act, 1882 (especially Sections 58 to 104) 
• Registration Act, 1908 
• State-specific Stamp Duty Laws 
• Indian Contract Act, 1872 (for contract competency) 

What Does a Deed of Mortgage Include? 

Here are the key details included in the deed: 

• Parties involved: Names and roles of the borrower (mortgagor) and lender (mortgagee). 
• Property details: Complete description of the mortgaged property, including location, boundaries, and specifications. 
• Loan amount and interest rate: The principal loan amount and applicable interest terms. 
• Repayment terms: Schedule, duration, and conditions for loan repayment, including EMIs and penalties for default. 
• Rights and obligations: Duties and rights of both parties, such as property maintenance, insurance, and tax payments. 
• Default clause: Consequences of borrower default, including lender’s right to repossession or foreclosure. 
• Possession terms: Who holds possession of the property during the mortgage period, depending on the mortgage type. 
• Legal clauses and signatures: Required legal terms to safeguard interests and execution by parties and witnesses on stamp paper with registration. 

FAQs Related to Mortgage Deed