Mortgage — a form of collateral, which pledged immovable property remains in the ownership of the debtor and the creditor in case of default by the latter of its obligations acquires the right to obtain satisfaction through the implementation of this property. The property which is set mortgage remains with the mortgagor in his possession and use.
Should distinguish between the mortgages and mortgage lending in which a loan issued by the Bank secured by real property. A mortgage loan is one of the components of the mortgage system. When receiving the credit for purchase of the immovable property itself acquired the property goes to the mortgage (pledge) to the Bank as a guarantee of repayment of the loan.
The mortgage is the pledge of existing real property owner to obtain a loan that will be directed either to the repair or construction or for other needs at the discretion of the borrower-mortgagor.
In the event of default of the principal obligation, the penalty applies only to mortgaged real property and the mortgagee has a preferential right to satisfaction of their claims before other creditors of the debtor. One way to reduce the risk of the lender is mortgage insurance. Mortgage by virtue of an agreement (contractual mortgage) — a mortgage that arises under the contract on mortgage (pledge of real estate).
The contract of mortgage is not an independent obligation, and is securing obligations under a loan agreement, credit agreement or other obligation.
The mortgage by operation of law different from mortgages arising out of the contract, only the fact that the first occurs by direct command in the law and is automatically registered together with another contract even without the parties ‘ applications, and mortgage into force of the agreement shall be registered under a separate statement of the parties. Since the mortgage by operation of law occurs when the target credit for acquisition of housing, upon the registration of such mortgage is changing the owner of the property, or to be more precise, such a mortgage occurs simultaneously with the acquisition of property by the borrower.