Deed on Redemption of Ground Rent
Pay the ground rent to the land owner and enjoy the ground space
Ground rent is paid to the landowner on which the building is constructed. This type of Deed on Redemption of Ground Rent is very popular in certain parts of the world. Every year the homeowner has to pay a small amount to the owner of the land (ground) as a rent. Ideally, the owner of the ground rents may be individuals, companies or banks. However, in order to get the rent on time, you and the homeowner has to prepare a ground rent redemption deed. This Deed on Redemption of Ground Rent has to be signed by both to avoid disputes in the future. Interestingly, the ground owner will just come to collect the rent and you as a homeowner, should take care of your ground, i.e. cleaning, axing the trees in the lawn, gushing out the snow, etc. Generally, the amount to be paid yearly will be clearly mentioned in the ground rent lease. The payment has to be made twice a year as mentioned in the lease and failing to pay the ground rent on time would push the homeowner to face legal issues. Usually, the ground rent is being paid by the mortgage company by taking from your escrow account.
Ideally, people would like to redeem the ground rent. The ground whose lease has been renewable forever is being redeemable. Also, when the owner of the home purchases the ground in which they have their home, then they do not need to pay this ground rent to the land owner. The money that you can redeem on the ground rent totally relies on the ground rent, lease and the laws of your state. However, if there is any redemption price mentioned in the lease, then you need to pay the same otherwise, you would need to pay the ground rent that is fixed as a capitalization rate by the state where you are dwelling.
Sample Template Preview
This deed, made this _________ day of _________[month], in the year _________, by and between _________, a body corporate of the State of _________, of the first part, grantor, and _________, of _________ County, State of _________, of the second part, grantee.
In consideration of the sum of five dollars, and other valuable considerations, receipt acknowledged, the grantor grants and conveys to grantee, his [her] heirs and assigns, in fee-simple, all that lot(s) of ground situate in the _________ District of _________ County, in the State of _________, and described as follows: [Here appears a legal description of the property.]
The leasehold interest in the property was acquired by the party of the second part by deed of assignment dated _________, and recorded among the land records in _________, folio _________, from _________ and _________ together with the buildings and improvements and the rights, alleys, ways, waters, privileges, appurtenances and advantages to it belonging or in anywise appertaining, the reversion and especially the clear, separate annual ground rent issuing and payable as stated above.
To have and to hold the described lot(s) of ground and premises, to and to the use of _________, his [her] heirs and assigns, in fee-simple, to the end and intent that the leasehold estate may be merged in the fee and the above annual ground rent be forever extinguished.
The grantor covenants that it will warrant the property granted and conveyed, and that it will execute any further assurances of the land as may be required.
- Act of Sale and Mortgage
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- Change by Agreement 2
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- Connecticut Warranty Deed
- Deposit Agreement for Delivery of Deed on Death of Grantor 2
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- From Corporation
- Kansas – Warranty Deed