Can I mortgage my land but not my house in Vietnam?
I want to mortgage my land to borrow some money. I just want to mortgage my land, do not want to mortgage my house that built on this land. Is that possible?
Can I mortgage my land but not my house in Vietnam?
Pursuant to Article 318 of the 2015 Civil Code, there are provisions on mortgaged property as follows:
1. Where entire immoveable property or moveable property having auxiliary objects is mortgaged, such auxiliary objects shall also form part of the mortgaged property, unless otherwise agreed.
2. Where a portion of immoveable property or moveable property having auxiliary objects is mortgaged, such auxiliary objects shall also form part of the mortgaged property, unless otherwise agreed by the parties.
3. With respect to mortgage on land use rights that property on land is owned by the mortgagor, such property shall also part of the mortgaged property, unless otherwise agreed.
4. Where mortgaged property is insured, the mortgagee must notify the insurer that the insured property is being mortgaged. The insurer shall pay the insured sum directly to the mortgagee upon occurrence of an insured event.
If the mortgagee failed to notify the insurer that the insured property was mortgaged, the insurer shall pay the insured sum in accordance with the insurance contract and the mortgagor shall be obliged to make payment to the mortgagee.
According to this Article, you have right to agree with the mortgagee about being able to mortgage the land without mortgaging the house in Vietnam.
What is handling of mortgaged property when mortgaged house but not mortgaged land in Vietnam?
Pursuant to Article 325 of the 2015 Civil Code, there are provisions on mortgage on land use rights without mortgage of property on land as follows:
1. With respect to mortgage on land use rights without mortgage property on that land but the land user is also the owner of the property on land; such property shall also part of the realized property, unless otherwise agreed.
2. With respect to mortgage on land use rights that the land user is not also the owner of the property on land, such owner may keep using such land within his/her rights and obligations during the realization of the land use rights. The rights and obligations of the mortgagor in relation with the owner of the property on land shall be transferred to the transferee of the land use rights, unless otherwise agreed.
According to this Article, unless otherwise agreed upon when dealing with the mortgaged property which is the land use right without mortgage on the house on the land, this house will also be handled to ensure the performance of the obligation in Vietnam.
Best Regards!
