Pennsylvania law allows mortgages to secure various advances related to the mortgaged property, including taxes, insurance, and construction costs. These advances become a lien on the property once the mortgage is recorded or a purchase money mortgage is delivered and recorded promptly. The law also clarifies that prior recorded advances retain their priority despite new legislation.
A mortgage can secure unpaid balances for taxes, assessments, insurance premiums, maintenance charges, costs for property protection, expenses due to default, and construction loan advances.
A mortgage becomes a lien once it is recorded or when a purchase money mortgage is delivered and recorded within ten days of its date, covering all unpaid advances.
No, advances made under mortgages recorded before the law's effective date retain their priority despite the new legislation.
Yes, amendments clarify the recording and priority of advances and update procedures for justices of the peace, now called magisterial district judges.