Escrow & TitleIntermediateDelaware Exam

What is a 'satisfaction of mortgage' in Delaware?

AA document the lender provides when the borrower is satisfied with the loan terms
BA document recorded in public records confirming full payoff of a mortgage loan and releasing the lienCorrect
CA certification that the property is worth the mortgage amount
DA letter from the lender confirming approval of an assumption

Why A document recorded in public records confirming full payoff of a mortgage loan and releasing the lien Is Correct

Answer B: A document recorded in public records confirming full payoff of a mortgage loan and releasing the lien

A satisfaction of mortgage (or mortgage discharge) is a recorded instrument that confirms the mortgage loan has been paid in full and releases 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.

Key Escrow & Title Terms in This Question

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