Chat with AIExam 23: Mortgages of Land and Real Estate Transactions
Today,with an increase in instances of mortgage fraud,there are times when homeowners can actually lose their property.Explain why recourse to the Land Titles Assurance Funds of various provinces may be of little value to such homeowners.
(80) 
VerifiedMortgage fraud can result in a mortgagee lending money and taking a mortgage on property owned by people whose identities have been stolen.Once registered against title to the property of such people,the mortgage is a valid mortgage,and in the event of a default,the court will normally support the right of the mortgagee to enforce its remedies under the mortgage.If the mortgagee sells the property to a bona fide purchaser for value,then the innocent homeowner whose identity has been stolen loses his or her home.Reimbursement for the loss of the home out of the assurance fund may compensate financially for the loss,but cannot compensate for the innocent party's emotional and sentimental attachment to the property.
In order to prevent mortgage fraud,as between a bank or finance company that is in the business of giving mortgages and the lawyer who acts on the mortgage,who do you think might have a higher duty to ensure that the borrowers are not imposters,and is this the case in the real world?
(70) VerifiedUsually it is the bank or finance company that is approached first by the borrowers,and such institutions have somewhat sophisticated resources available to confirm the identity of the borrowers,including credit,background,and social insurance number checks,while a lawyer has only limited resources available to check identity,such as a driver's licence,copies of title documents,or reporting letters respecting the property to be mortgaged.Thus,between the two,the bank or finance company should have the higher duty.However,the current state of law suggests that it is the lawyer who must ultimately take steps to confirm the identity of the borrower.
Who is a general creditor?
(81) VerifiedA general creditor is a creditor who has no security other than the debtor's promise to pay.
What should a prudent mortgagee do when a mortgagor defaults on the mortgage and abandons the mortgaged property?
(84) The rules regarding assignments continue in respect of mortgages that are assigned.
(79) Use the fact situation in Q1 to answer the related question that follows. Given the date and time of registration of the Royal Bank and the TD Canada Trust mortgages,if George defaults in payment of the TD Canada Trust mortgage,TD Canada Trust can
(90) An order by a court that ends the right of the mortgagor to redeem the mortgage within a fixed time is called
(89) Assume that you are a developer of land who wants to purchase some land and divide it into building lots and then build and sell homes on them.Explain the type of mortgage that you will obtain and how it will permit you to sell the homes you build.
(82) Use the fact situation in Q1 to answer the related question that follows. Based on the date and time of registration of each of the two mortgages,assume that six months after the registration of the mortgages,George defaults on the TD Canada Trust mortgage and that his house is now worth $600 000.00.On a sale of the house by TD Canada Trust,the Royal Bank would receive
(77) A creditor who has no security other than the debtor's promise to pay is
(79) Explain why a mortgage is good protection for the mortgagee in circumstances where the mortgagor may be insolvent or goes bankrupt.
(92) On receipt of an agreement of purchase and sale from a purchaser of property,the first thing a prudent lawyer should do is
(93) A mortgage that permits repayment of the debt at any time without notice or penalty is called
(90) Use the fact situation in Q1 to answer the related question that follows. If only the Royal Bank mortgage were registered on title to George's home,based on what was on title,the equity of redemption in George's home would be
(88) On default of a mortgage,the full amount of the balance outstanding becomes due.
(78) Where the vendor accepts an offer to purchase his or her property,what are five of the matters that the purchaser will have to investigate before closing?
(83) Use the fact situation in Q1 to answer the related question that follows. Assume that George comes into an inheritance and pays off the TD Canada Trust mortgage in full.TD Canada Trust will give George
(72) 
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