The mortgage of land use right to borrow a bank loan, requires the land user to have a certificate of land use right (Red Book) or the heir must be eligible to be granted a Red Book (according to Clause 1, Article 168 of the Law on Land Use Right). Land in 2013).

Illustration.

When a person has died but has not yet divided the inheritance, that Red Book still belongs to that deceased person. But when that person dies, that person no longer has the capacity for civil acts, cannot perform transactions, civil rights and obligations. this means that he cannot sign the mortgage contract or mortgage registration slip by himself. ..

It is possible to use the Red Book of another person to mortgage a loan for a third party, but no bank agrees to take the deceased's property as a mortgage to borrow money at a bank without inheritance division.

At the same time, there is no notarial practice organization that notarizes the mortgage contract when the mortgagor is a dead.

Thus, when the Red Book is in the name of the deceased but has not yet divided the inheritance or is not eligible to be issued a Red Book in the name of the living person (it can be an heir or another person through a transaction of buying, selling, gifting, etc. with the heir after dividing the estate (land use right), it will not be able to get a loan from the bank via mortage.