Mortgage Deed for Simple Mortgage of Residential Property in India.

THIS DEED OF MORTGAGE is executed at Delhi on this ___ day of _, 20,
BY
Mr. [A], son of Sh. [_____], residing at [complete address], hereinafter referred to as the “Mortgagor” (which expression shall, unless repugnant to the context, mean and include his heirs, legal representatives, executors, administrators, and assigns) of the First Part;

IN FAVOUR OF
M/s [ABC Ltd.], a company incorporated under the Companies Act, 1956/2013, having its registered office at [address], hereinafter referred to as the “Mortgagee” (which expression shall, unless repugnant to the context, mean and include its successors-in-interest and assigns) of the Second Part.

WHEREAS:

1. The Mortgagor is the lawful lessee of a residential plot bearing Municipal No. [____], situated at [locality, city, state], under a perpetual lease deed dated [date of lease deed] executed by the President of India.
2. The terms of the said perpetual lease require the Mortgagor to construct a residential building on the plot within the stipulated timeline.
3. The Mortgagor, lacking sufficient financial resources to construct the residential building, has approached the Mortgagee for a loan of ₹ [amount in words] (₹ [amount in numbers]).
4. The Mortgagee has agreed to advance the said loan amount on the condition that the Mortgagor executes a simple mortgage of the aforementioned property in favour of the Mortgagee as security for repayment.
5. The Mortgagor has agreed to the said terms and conditions and has decided to mortgage the property to secure the repayment of the loan along with applicable interest.

NOW THIS DEED WITNESSES AS FOLLOWS:

1. Acknowledgment of Debt

The Mortgagor acknowledges and admits that he is indebted to the Mortgagee for a sum of ₹ [amount in words] (₹ [amount in numbers]), hereinafter referred to as the “Principal Amount,” under a promissory note and receipt executed on [date].

2. Interest on Principal Amount

The Mortgagor agrees to pay interest on the Principal Amount at the rate of [rate]% per annum from the date of disbursement of the loan until full repayment.

3. Repayment Schedule

(a) The Mortgagor shall repay the Principal Amount in [number] equal monthly installments of ₹ [amount in words] (₹ [amount in numbers]), commencing from [start date], and shall complete repayment on or before [final repayment date].
(b) Interest accruing thereon shall be payable [monthly/quarterly/half-yearly] as mutually agreed.
(c) Any default in payment of interest or principal shall result in such amounts being added to the Principal Amount and shall bear interest at the same rate.

4. Mortgage of Property

In consideration of the loan advanced, the Mortgagor hereby mortgages by way of a simple mortgage the following property:

• Residential Plot bearing Municipal No. [____], situated at [locality, city, state], along with any permanent structures constructed thereon in the future.

5. Covenants of the Mortgagor

The Mortgagor covenants with the Mortgagee as follows:
(a) The mortgaged property is free from all encumbrances, charges, liens, and claims.
(b) The Mortgagor shall not create any third-party interest, lien, or encumbrance on the property during the subsistence of this mortgage.
(c) The Mortgagor shall keep the property insured against all risks, including fire, with an insurance company approved by the Mortgagee.

6. Power of Sale

In the event of default by the Mortgagor in repayment of the loan or interest, the Mortgagee shall have the right to enforce the mortgage by selling the property without the intervention of the Court, as provided under Section 69 of the Transfer of Property Act, 1882, subject to compliance with the applicable law.

7. Insurance

(a) The Mortgagor shall insure the property and maintain the insurance policy in full force during the term of the mortgage.
(b) In case of default in payment of insurance premiums, the Mortgagee may, at its discretion, pay the premiums and add the amount to the Principal Amount, which shall bear interest accordingly.

8. Binding Effect

This Deed of Mortgage shall bind the Mortgagor, his heirs, legal representatives, executors, administrators, and assigns.

9. Governing Law and Jurisdiction

This Mortgage Deed shall be governed by and construed in accordance with the laws of India, and the courts at [place] shall have exclusive jurisdiction over any disputes arising hereunder.

IN WITNESS WHEREOF, the parties hereto have executed this Mortgage Deed on the day, month, and year first above written.

Signed and Delivered by the Mortgagor
[Name of Mortgagor]

In the presence of Witnesses:

1. [Name, Address, Signature]
2. [Name, Address, Signature]

Signed and Delivered by the Mortgagee
For and on behalf of [ABC Ltd.]
Authorized Signatory:

[Company Seal, if applicable]

This comprehensive mortgage deed follows the relevant provisions of the Transfer of Property Act, 1882 and ensures compliance with Indian legal requirements. Ensure that a certified legal professional reviews the document before execution.