FACTS:

Spouses Canuto and Solid Homes entered into a contract to sell. Solid then mortgaged the property in favor of petitioner and upon his failure to pay the loan, the property was foreclosed. Here now comes the spouses who filed a complaint with the HLURB for failure of Solid to execute an absolute deed of sale.

HELD:

An unregistered mortgage is of no moment since it is understood to be without prejudice to the better right of third parties.