Reverse Mortgaging

Panelja said her bureau worked 252 reverse Mortgages in 2003, up from about 180 the year before. Residential property will remain boiling, which is good news both for the home loan guarantee assurance business.

In the US, the prime and subprime mortgages market plays a crucial part based on wealth rather than solvency ratings. The system is for-profit and usually serves to distribute risks throughout the system. Lending to Doric Apartment Corporation, a 434-unit cooperative based at 100 Manhattan Ave. for the 483-unit cooperative based at 93-32, is customary for the risk-free portion, while management maintains a substantial portion of the high-risk portions.

Decision of the Directorate General of Registries and Notaries (Land) of 1 October 2010

This decision concerns a complaint lodged by an Estepona notary public against the Land Registry's decision not to register a title deed guaranteeing a credit on a running bank escrow in reverse mortgages or equity releases.

It claimed that certain finance and prepayment provisions were inconsistent with the basic rules of our law, even if the principal amount of the obligation and the corresponding interest rate stipulated or the limit of the obligation under the loan were clearly stated in the loan certificate, indicating the liabilities covered and their time.

This Decision is of indisputable interest as it provides that the registration controls over prepayment and finance provisions are restricted to those which may infringe the applicable legal provisions. Furthermore, this new statement states that the aforementioned finance and prepayment provisions, to which the revised Art. 12 of the Mortgages Act relates, must be entered in the land registry, provided that the Registrar considers those provisions to be advantageous which are relevant to the right of ownership and which set out the right of ownership of the security right over real property. 7.3.2006 C 24/6

In addition, this judgment also upholds what the Supreme Court has held on other occasions with regard to the terms prohibiting the borrower from bringing proceedings in such cases, such as the sale, pledge, encumbrance or letting of the immovable object and its consequent early redemption. These terms have been found to be unfair and therefore cannot be registered because they would restrict the right of the borrower to dispose of the debt, which is not permitted in our jurisdictions unless it is a commercial transaction without value in return, and even in these cases it is temporary.

Along with the above, the Directorate-General differentiates the cases in which the commitments are precedent not to order, which has no protective meaning and only a purely mandatory substance, and acknowledges that they can be acceptable in certain situations, although they would only be mandatory objectives between the contracting entities.

Furthermore, the Directorate-General notes that it is disproportionate to assign a solution-oriented character to a violation, as this is only possible in the case of a violation of an undertaking of particular importance and under no circumstance in the case of ancillary duties or non relevant violations.

Finally, it should be pointed out that the registration reflexion of prepayment provisions and other finance provisions should necessarily take place under the same conditions as the corresponding letter of hypothecation, unless their invalidity has been annulled by a court ruling or deemed unlawful on objective grounds.

The registration activities can under no circumstance commit themselves to evaluating the circumstance in which the assumption of a particular incident was made.