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Mortgage FAQs

Below are some common questions drawn from our members regarding mortgages.

Mortgage Glossary        

  • Title:  Ownership: The ownerís right to the property. Evidence supporting the claim to ownership.
  • Mortgagor: This is the member borrowing funds for the mortgage
  • Mortgagee: the lender or financial institution lending funds
  • Property: house, land. It can be moveable such as a chattel house

Click on the question or title to view the answers and details.

Mortgage FAQs


What is a Mortgage?

A Mortgage is a legal relationship having consequences in law. It is a contractual arrangement enforceable at law. It is a document governing the relationship between lender and borrower.


What fees are included if seeking to obtain a mortgage?

The fees include:
  • Legal fees
  • Search fees
  • Surveyor's fees
  • Recording fees
  • Stamp duty 
  • And maybe a prorated portion to the land tax 

Why does the process take so long?

The wait may be due to the important searches such as: 
  • Title searches
  • Court registry searches
  • Availability of the documents
  • Replies to requisition on titles

What constitutes evidence of title?

Good title is obtain by having:
  • Title deeds
  • Recent surveyor's plans 
  • Current land tax certificate

Who can be a Mortgagor?

The mortgagor can be the owner of the property or the legal representative of the owner. The owner must be able to support a claim to ownership by producing evidence of title 


What are the requirements for a mortgage?

Housing, Land or Construction

  • Approved plans from Town & Country Planning Department
  • Property Valuation
  • Offer letter from vendor
  • Copy of most recent Land Tax invoice
  • Select an Attorney:

We have made this very easy for you. C.O.B is pleased to offer the services of our in house legal counsel to assist you and provide any assistance or advice you may need. This new initiative has greatly reduced the challenges encountered by overseas members.

  • Determine what type of insurance is needed:

Co-operator’s General Insurance Co. Ltd., which is owned by all Credit Unions in Barbados can provide all your insurance needs for you.


What are the Consequences?

The consequences are that:
  • The Lender and the borrower will be in partnership for the duration of the plan period. 
  • The borrower is entitled to the benefit of the funds secured under the mortgage. 
  • The lender is entitled to receive funds in full settlement of the loan advanced together with the interest. 
  • The borrower is entitled the release of the charge against the property mortgaged upon repayment of the principal and the interest.