Mortgage Purchase Agreement Template for Austria

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Key Requirements PROMPT example:

Mortgage Purchase Agreement

"I need a Mortgage Purchase Agreement governed by Austrian law for a portfolio sale of residential mortgages from ABC Bank AG to XYZ Investment Fund, with completion planned for March 2025; the mortgages are performing loans and we need special provisions for ongoing servicing arrangements."

Document background
The Mortgage Purchase Agreement is a crucial document used in Austrian financial markets when transferring mortgage rights between parties. It is particularly relevant in scenarios involving portfolio sales, bank restructuring, or strategic mortgage trading. The agreement must comply with Austrian banking laws, real estate regulations, and land registry requirements while addressing key aspects such as purchase price, representations about the mortgage quality, and transfer mechanics. This document is essential for financial institutions engaged in mortgage trading and requires careful consideration of Austrian consumer protection laws, especially when the underlying borrower is a consumer. The agreement typically includes detailed schedules describing the mortgage, property, and required transfer documentation, making it a comprehensive instrument for mortgage transfers in the Austrian market.
Suggested Sections

1. Parties: Identification of the seller and purchaser of the mortgage, including their full legal names, registration numbers, and addresses

2. Background: Context of the transaction, including brief description of the existing mortgage and the parties' intention to transfer it

3. Definitions: Key terms used throughout the agreement, including technical banking and real estate terms specific to Austrian law

4. Subject Matter of Purchase: Detailed description of the mortgage being sold, including the underlying property details and current borrower information

5. Purchase Price and Payment: The agreed purchase price for the mortgage, payment terms, and method of payment

6. Transfer of Rights: Legal mechanics of transferring the mortgage rights, including requirements under Austrian law and land registry procedures

7. Seller's Representations and Warranties: Warranties regarding the validity of the mortgage, absence of defaults, and accuracy of provided information

8. Purchaser's Representations and Warranties: Confirmations regarding the purchaser's authority and capability to acquire the mortgage

9. Conditions Precedent: Requirements that must be satisfied before the transfer becomes effective

10. Completion Requirements: Steps required to complete the transfer, including registration requirements and notifications

11. Costs and Taxes: Allocation of transaction costs, stamp duties, and registration fees

12. Notices: Communication procedures between parties and required notifications to third parties

13. Governing Law and Jurisdiction: Confirmation of Austrian law governance and jurisdiction for disputes

14. Execution: Signature blocks and execution requirements

Optional Sections

1. Due Diligence Findings: Used when specific findings from due diligence need to be addressed or when warranties are qualified by due diligence results

2. Borrower Consent: Required when the underlying mortgage agreement or Austrian law requires borrower consent for the transfer

3. Portfolio Sale Provisions: Included when the transaction involves multiple mortgages being sold as a portfolio

4. Regulatory Compliance: Additional provisions when either party is a regulated entity requiring specific compliance measures

5. Post-Completion Servicing: Included when arrangements for ongoing mortgage servicing need to be addressed

6. Foreign Party Provisions: Required when either party is not Austrian, addressing specific foreign investment requirements

7. Default Interest Provisions: Specific provisions for handling any accrued default interest on the mortgage

8. Insurance Assignment: Provisions for transferring related insurance policies when applicable

Suggested Schedules

1. Schedule 1 - Mortgage Details: Detailed description of the mortgage, including loan amount, interest rate, term, and payment schedule

2. Schedule 2 - Property Description: Legal description of the mortgaged property, including land register details

3. Schedule 3 - Outstanding Amount Calculation: Detailed calculation of the current outstanding amount under the mortgage

4. Schedule 4 - Transfer Documents: Forms and documents required for land registry and other administrative transfers

5. Schedule 5 - Due Diligence Documents: List of documents provided during due diligence

6. Appendix A - Completion Checklist: Checklist of actions required to complete the transfer

7. Appendix B - Required Notices: Template notices to be sent to the borrower and other relevant parties

8. Appendix C - Power of Attorney: If required, form of power of attorney for registration purposes

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions
Clauses
Relevant Industries

Banking

Financial Services

Real Estate

Investment Management

Legal Services

Insurance

Property Development

Mortgage Lending

Asset Management

Relevant Teams

Legal

Compliance

Risk Management

Real Estate

Corporate Banking

Investment Banking

Portfolio Management

Asset Management

Credit Risk

Transaction Management

Due Diligence

Corporate Finance

Relevant Roles

Legal Counsel

Banking Officer

Mortgage Officer

Real Estate Manager

Compliance Officer

Risk Manager

Portfolio Manager

Transaction Manager

Finance Director

Chief Legal Officer

Investment Manager

Asset Manager

Due Diligence Specialist

Credit Risk Officer

Corporate Banker

Industries
Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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