land expropriation

Faced with rising house prices, many people are unable to pay off the house price in one go. Therefore, in order to meet their housing needs, most people choose to buy a house with a down payment mortgage. Of course, this will reduce the financial pressure on home buyers. However, there is such a situation. If the house loan has not been paid off and the house is demolished, what will happen to my house compensation?
First of all, we know the nature of mortgage. The essence of a housing loan is that the buyer mortgages the house to the bank under a mortgage contract signed with the bank. The bank has the priority to be repaid. Therefore, the compensation for the demolition of such houses should be treated with reference to the mortgage rights in the demolition.
1. Loan contract relationship with the bank: The owner obtains a loan from the bank and mortgages the house to the bank.
Lawyers’ areas of expertise: legal services on rights protection for various types of houses and breeding farms and other buildings and structures that are deemed to be illegal construction (illegal construction), expropriation and demolition of companies, enterprises, factories, and breeding farms, expropriation and compensation of houses on state-owned land, rural land expropriation and housing resettlement compensation, administrative agreements, etc. The scope of agency covers Beijing, Shanghai, Tianjin, Yunnan, Guizhou, Sichuan, Chongqing, Xinjiang, Qinghai, Gansu, Jilin, Liaoning, Shandong, Hebei, Henan, Hubei, Hunan, Shaanxi, Anhui, Jiangsu, Zhejiang, Jiangxi, Guangdong, Fujian, Hainan and other regions.
If the mortgage rights disappear when the house is demolished, the bank's mortgage rights will also disappear. However, the bank has the priority to be reimbursed. That is to say, after the owner receives the demolition compensation, he must first repay the bank loan.
2. Demolition agreement with the demolition party: The demolition party can only obtain the right to demolish the house after paying off the bank debt and signing a demolition agreement with the owner.
Therefore, for owners who choose monetary compensation, the demolition party should take the initiative to help them repay bank loans; for owners who choose property rights replacement, the demolition party should assist them in converting the house originally mortgaged to the bank into a resettlement house, and then re-sign a loan agreement. In fact, this kind of problem has a good ending. In most practical cases, the demolition party will help the owner's assistant solve the debt problem with the bank.
Processing process: After negotiating the demolition compensation, inform the demolition party in advance that your house is mortgaged. Bring your loan contract and bank to your demolition party to open an entrusted account. The demolition party will help you repay the remaining loan owed to the bank in advance, and then give you the remaining compensation, and you can go through the surrender procedures.
If you choose property rights replacement, then go through the resettlement housing mortgage loan procedures. If you encounter this kind of problem, you can consult the professional lawyers of Yingting Law Group for professional help.
The legal knowledge in this article does not represent legal advice. If you encounter similar problems, you should analyze them in detail.