The equity of redemption
The equity of redemption

The following Property practice note provides comprehensive and up to date legal information covering:

  • The equity of redemption
  • Disposal and devolution
  • No clogging
  • Postponement or limitation of the right to redeem and collateral advantage
  • Enforcement
  • Loss

Disposal and devolution

The equity of redemption arises as soon as the mortgage is made. It is an interest in the land which the mortgagor can:

  1. transfer, lease or mortgage inter vivos, or

  2. by will (it passes on intestacy)

No clogging

It is a fundamental principle of a mortgage that there must be no clog on the equity of redemption. This means that there must be no fetter on the mortgagor’s right to:

  1. redeem the mortgage, and

  2. recover unencumbered enjoyment of the property

by repaying the mortgage debt in full.

Any clog is void.

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