When does the mortgage become a legal charge?

• A. On completion of the sale.
• B. As soon as the mortgage deed is signed.
• C. Upon registration at HM Land Registry.
• D. After the OS1 priority period ends.

Answer: (C)

The key idea here is that a mortgage over land becomes a legal charge only when it is registered against the title at HM Land Registry. The mortgage deed by itself creates the obligation and can give rise to an equitable mortgage, but to be enforceable as a legal charge against third parties, the security must be entered on the land register. That registration is what converts the interest into a legal charge.

So, the moment the charge is registered is the point at which it becomes a legal charge. The other options don’t fit: completion of the sale doesn’t by itself create the charge; signing the mortgage deed creates the obligation but not the registered legal charge; and the OS1 priority period relates to other title considerations, not the creation of a legal charge.