1. Arkin, the owner of Redacre, executed a real estate mortgage to the Shawnee B
ID: 2716716 • Letter: 1
Question
1. Arkin, the owner of Redacre, executed a real estate mortgage to the Shawnee Bank and Trust Company for $100,000. After the mortgage was executed and recorded, Arkin constructed a dwelling on the premises and planted a corn crop. After Arkin defaulted in the payment of the mortgage debt, the bank proceeded to foreclose the mortgage. At the time of the foreclosure sale, the corn crop was mature and unharvested. Arkin contends (a) that the value of the dwelling should be credited to him and (b) that he is entitled to the corn crop. Explain whether Arkin is correct.
Explanation / Answer
When property is mortgaged as a real estate mortgage, following rules are applicable:-
In case of mortagaged land growing crops and dwelling all are considered as a part of land and the mortgaged property shall attach not only to the crop grown during the year but also to all later crops until the debt is paid.
Hence accordingly, akin' contention is not correct
Related to the following matters that is
. Value of dwelling is credited to him. And he is entitled for corn crop . He shall not be eligible to receive any benefit until the debt is paid.
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