S
Sahaj Vidhi
Chhattisgarh Pre 2016 Re

A mortgages a certain plot of building land to B and afterwards erects a house on the plot. For the purposes of his security, B is entitled to:

Verified Answer
A. The house as well as the plot
B. Only the house
C. Only the plot
D. Neither the plot nor the house

Explanation:

Section 70 of the Transfer of Property Act, 1882 deals with accession to mortgaged property. It states that if, after the date of a mortgage, any accession is made to the mortgaged property, the mortgagee, in the absence of a contract to the contrary, shall, for the purposes of the security, be entitled to such accession. A house built on mortgaged land is an accession.