Mortgage of undivided property by Co-owners

 

Date

___________________________________________________________________________[hereinafter called the borrowers]

And

___________________________________________________________________________(hereinafter called the lender)

WHEREAS:

 (1) The borrowers are the absolute owners in respect of the undivided property described in the schedule hereto as tenants-in-common in equal shares.

(2) The lender has agreed at the request of the borrowers to advance to the borrowers the sum of Rs_________upon having repayment thereof with interest thereon secured in manner hereinafter appearing.

NOW THIS DEED WITNESSETH as follows:

1. In consideration of the sum of Rs__________. this day paid by the lender to the borrowers (the receipt whereof in manner aforesaid the borrowers hereby acknowledge) the borrowers hereby jointly and severally covenant with the lender that the borrowers and each of them will pay to the lender on the__________day of________next the sum of Rs________with interest thereon from the date hereof at the rate of_________ per cent per annum and if the said sum (hereinafter called the principal money) or any part thereof shall not be paid on the said date will pay to the lender interest at the rate aforesaid on the principal money or such part thereof as shall from time to time remain owing by equal half-yearly [or quarterly] payments on…... in each year.

2.  For the consideration aforesaid the borrowers as tenants-in-common or co-owners hereby confirm assign and assure by way of mortgage unto the lender all the property specified in the schedule hereto TO HOLD the same unto the lender for the term of____________ years from the date hereof without impeachment of waste subject to the proviso for cesser hereinafter contained.

3. If the borrower shall on the_________next pay to the lender the principal money with interest thereon at the rate aforesaid from the date hereof the term hereby created shall cease.

 4. In this deed where the context admits the expressions “the borrowers” include the survivors and survivor of them and the persons deriving title under them and the expression “the lender” includes his personal representatives and the persons deriving title under them.

SHCEDULE

[Description of Mortgaged property]

IN WITNESS etc.

 

[Signatures of both the parties]