Mortgage Sale Deed for the United Kingdom

Mortgage Sale Deed Template for England and Wales

A Mortgage Sale Deed is a formal legal document used in England and Wales to transfer the beneficial and/or legal title to a portfolio of mortgages from one entity to another. It contains detailed provisions regarding the sale and purchase of mortgage loans, including warranties about the quality of the mortgages, the purchase price, completion mechanics, and ongoing obligations of the parties. The document must comply with English property law, financial services regulations, and consumer protection legislation.

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What is a Mortgage Sale Deed?

The Mortgage Sale Deed is essential when implementing mortgage portfolio transfers in England and Wales. It is commonly used in securitization transactions, portfolio sales, and business restructuring. The deed must address various regulatory requirements, including those under the Financial Services and Markets Act 2000 and the Law of Property Act 1925. It typically includes comprehensive warranties about the mortgage portfolio, detailed completion mechanics, and provisions for notifying borrowers of the transfer.

What sections should be included in a Mortgage Sale Deed?

1. Parties: Identification of seller and purchaser of the mortgages

2. Background: Context of the sale and details of the mortgage portfolio

3. Definitions: Key terms used throughout the deed

4. Sale and Purchase: Core terms of the transfer of the mortgage portfolio

5. Purchase Price: Consideration and payment terms

6. Completion: Transfer mechanics and timing

7. Representations and Warranties: Standard seller warranties regarding the mortgage portfolio

What sections are optional to include in a Mortgage Sale Deed?

1. Post-Completion Obligations: Used when ongoing obligations exist after completion, typically for complex transactions with continuing obligations

2. Data Protection: Provisions for handling personal data when transferring mortgage information

3. Transitional Services: Arrangements for continued servicing when seller continues to service the mortgages post-sale

What schedules should be included in a Mortgage Sale Deed?

1. Schedule 1: The Mortgage Portfolio: Detailed list of mortgages being sold

2. Schedule 2: Warranties: Detailed warranties relating to the mortgage portfolio

3. Schedule 3: Completion Requirements: Detailed completion mechanics and requirements

4. Schedule 4: Forms of Notices: Template notices to borrowers regarding the transfer

5. Schedule 5: Power of Attorney: Form of power of attorney for post-completion actions

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

Jurisdiction

England and Wales

Publisher

Genie AI

Document Type

Deed of Sale

Cost

Free to use

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