Protecting Your Interests: Caveats and Mortgages

Do you have an interest in land that someone else owns? Is that person refusing to recognise your interest?

If that is the case, it would be prudent for you to register a caveat over the land to prevent that person dealing with their property without satisfying your interest first.

Some of the interests in land that may justify the lodging of a caveat include:

• if you have separated from your spouse and they have land registered in their sole name and you have reason to claim an interest in that land
• if the land is registered in the name of someone who has passed away and you are in the process of making a claim against the estate of the deceased person
• if you are a lessee of the land and your lease is not registered on the title
• if you are a purchaser of the land pursuant to a contract which has not yet settled
• if you have loaned money to the owner of the land for them to use to buy or improve the land and you have an unregistered mortgage evidencing that loan

If you find yourself in the unfortunate situation where you may need to protect your interest in property, please don’t delay.

If you loan someone money to buy or improve land, it would be wise to obtain security for your loan.

Like a squirrel storing nuts safely for the winter, it is important to protect your investment.

We are happy to prepare a private mortgage for you which can be registered on the title for the land owned by the person that has borrowed money from you.

Your mortgage will give you priority over any other people that are owed money by the borrower.

It will clearly define the expectations of you and the borrower, including providing repayment terms, interest rates and penalties.

When loaning money to friends, make sure that you don’t overlook good sense. You will be thankful in the long run.

Consider the mortgage as protection for your money and for your friendship.