1. What is a MORTGAGE
It is a Contract whereby the debtor assures the creditor the fulfillment of a principal obligation with the proceeds of sale of said property in case the said obligation is not complied with.
2. Possession of Property
As a general rule, it is retained by the mortgagor.
The mortgaged property is only subjected to a lien but ownership remains with the mortgagor.
3. Can I transfer it even if not fully paid?
If mortgagor has transferred the mortgaged property to a third person, it doesn't relieve him from his obligation to pay his debt to the mortgagee.
(Promissory Note is the primary document unless there is novation)
The mortgage lien is carried over and has priority over any other claims.
( the Real Estate Mortgage is an accessory document)
4. Can It be foreclosed even if it is a family home?
Yes. Family Code is specific:
Art. 155. The family home shall be exempt from execution, forced sale or attachment except:
(3) For debts secured by mortgages on the premises before or after such
constitution;
my sister is in saudi as a clerk in a govt hospital. her pay is small but she make do with part-time (teaching piano/organ to children of officemates and/or taking care of kids of officemates pag duty sila). she bought a house in sta rosa laguna thru earth aspire. she paid from October 2006 to April 2008. She has made payments for Php 255,924.76 until she got sick. She has been bleeding profusely (she is already 50 and unmarried - an unmarried aunt of us died of cancer of d uterus). The lady doctor was afraid it could be cancerous. During those times she was sick and away from us, she stopped paying. Around 2009 since they kept asking for her account, i asked if they could be considerate enough to give my sister refund since she cant afford to pay it anymore. Someone mentioned about "Maceda Law" and i asked if it can be applied to my sister's account. I begged for 50% refund because my sister needs it badly, but they told me they could only give her 10%.
ReplyDeletecan u advise me on this pls?
according to RA 6552, if you have paid at least 2 year installments:
ReplyDelete(b) If the contract is cancelled, the seller shall refund to the buyer the cash surrender value of the payments on the property equivalent to fifty per cent of the total payments made.
an option is to sell the house via "assumption"