Modes of Creation
There are two types of modes of creation.
A Legal Mortgage of Freehold land in Grenada is effected by way of a conveyance of the Fee Simple Estate to the Mortgagee. The Fee Simple Estate is the best Title one can have.
The Fee Simple Estate is what is now used quite frequently to give the Mortgagee the security. In other words, the Freehold Land and the Estate, which is conveyed to the Mortgagee, is subject to a covenant for reconveyance on the redemption of the mortgage.
A Legal Mortgage of the Leasehold Land takes the form of an Assignment, and not the form of Conveyance. In other words, the Mortgagor is assigning to the Mortgagee the residue of the term of years remaining on the property.
The Reversion is the time that the Mortgagee is not there on the property. In order words, the Mortgagor would have
assigned to the Mortgagee by way of Leasehold, is
can be the term
of years in the assignment by the
land, subject Mortgagee on
the provision for re- repayment of the loan.