Assignment agreement

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JaneDoe
Posts: 22
Joined: 31 Aug 2011 19:08

Assignment agreement

Post by JaneDoe »

Hey all,

If a debtor had signed an “assignment agreement” of his contract of sale in order to secure the housing loan (being purchaser of immovable property without title of deeds), can the bank take the ownership of the house through the civil action or sell it to a third person? How can the bank execute that assignment agreement against the debtor? The land is not mortgaged by the developer. The contract of sale is diposited to the land registry office.

Thank you.
Nigel Howarth
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Re: Assignment agreement

Post by Nigel Howarth »

Hi JaneDoe

I assume that the debtor is failing to maintain their mortgage repayments. If so, the bank can take action through the court to recover the property. I don't know exactly how the bank goes about this or the timescales involved.

Regards,
Nigel Howarth
Independent information & advice for Cyprus property buyers
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JaneDoe
Posts: 22
Joined: 31 Aug 2011 19:08

Re: Assignment agreement

Post by JaneDoe »

Yes, the debtor is failing to do repay the loan. Actually I was thinking that while the assignment agreements are old (before the issuance of the new law) and they are not deposited to the land registry office they are only agreements “in personam”; therefore the bank does not have any rights (in rem) on the property... Anyway I will find the answers.
Nigel Howarth
Site Admin
Posts: 2585
Joined: 24 Oct 2007 14:38
Location: Erimi, Limassol, Cyprus
Contact:

Re: Assignment agreement

Post by Nigel Howarth »

Hi digital1234

It makes no difference if the debtor is a student - the bank has the same rights.

Rgds,
Nigel Howarth
Independent information & advice for Cyprus property buyers
Contact Nigel Howarth
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