Satisfaction of Mortgage

A Satisfaction of Mortgage is a legal document that confirms a mortgage loan has been fully paid off. Key aspects include:

1. Issued by the lender when the borrower completes all payments

2. Proves the property is free from the specific mortgage lien

3. Typically recorded with the county recorder’s office

4. Contains:

   – Property description

   – Original mortgage details

   – Statement of full payment

   – Lender’s signature

5. Crucial for clear property title

This document is essential for homeowners as it officially releases them from the mortgage obligation. It’s necessary when selling or refinancing a property to show potential buyers or new lenders that the previous mortgage has been satisfied. Lenders are usually required to file this document within a specific timeframe after the loan is paid off. Homeowners should ensure they receive and properly file this document to avoid future complications with their property title.