The mortgage is the classic guarantee of a loan requested by banks in Togo.
The mortgage is the right that the debtor customer confers on the bank to seize and sell his building in the event of non-repayment of the mortgage, even if this property has been sold to a third party.
The mortgage can be conventional (the agreement must be established by a Notary) or judicial (in this case it results from a judgment authorizing a creditor to constitute a mortgage guarantee). There are mainly two types of mortgage guarantees: mortgage and mortgage surety.
We speak of mortgage surety when it is a third party (someone foreign to the credit file) who gives the bank its building to guarantee the repayment of the credit contracted by the borrower.
A practice of land title leasing has developed that should not be encouraged because it involves too much risk for the land title lessor who puts his land title at the service of a third party to guarantee the loan of this third party to the bank. .
Mortgage registration
- The mortgage must be published with the Conservation Foncière. It is often made by notarial act.
- The notary will be responsible for completing the registration formalities for land conservation.
- Registration is of first rank when no bank already has a mortgage on the building given as security.
- Registration is secondary when a first bank already benefits from a mortgage registration on the property given as security.
For the cost of mortgage registration, it is necessary to count the registration of the loan deed containing the mortgage at the rate of 1% of the amount of the loan to the OTR and the payment of the rights of 1% to the land conservation. , without forgetting the emoluments of the notary.
Mortgage release
The release is a notarial deed by which the borrower (Bank) has the mortgage on the property lifted.
The notary must ask the representatives of the financial institution to sign this deed. Then, he will do the formalities for deleting the mortgage from the Land Conservation.
Regarding the costs, it is necessary to count the registration of this act with the OTR at the rate of 0.5% of the amount of the mortgage and rights of 1% to the land conservation, without forgetting the emoluments of the notary.
