Escrow & TitleIntermediateDelaware Exam

What is a 'release of mortgage' (satisfaction of mortgage) in Delaware?

AA document transferring the mortgage to a new lender
BA recorded document executed by the lender confirming the mortgage has been fully paid off and releasing the lien on the propertyCorrect
CSimply a short government form that releases the borrower entirely from all future mortgage liability, under typical circumstances
DA document releasing the mortgage company from future liability

Why A recorded document executed by the lender confirming the mortgage has been fully paid off and releasing the lien on the property Is Correct

Answer B: A recorded document executed by the lender confirming the mortgage has been fully paid off and releasing the lien on the property

A release of mortgage (also called a satisfaction of mortgage or mortgage discharge) is executed by the lender when the loan is paid in full. It is recorded in the county land records to remove the mortgage lien from the property's title.

Exam Tip: Escrow & Title

Escrow questions test the neutral third-party role and the sequence of closing events. Remember that the escrow agent acts as a dual agent for both buyer and seller and cannot advocate for either side.

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