Finance
In Michigan, a 'release of mortgage' (discharge) should be recorded when:
AThe borrower misses a payment
BThe mortgage loan is paid in full, to clear the lien from the public record✓ Correct
CThe property is sold, even if the mortgage is assumed
DThe property is refinanced with the same lender
Explanation
When a Michigan mortgage is paid in full, the lender must record a discharge (release) of mortgage with the county register of deeds, removing the lien from the public record and giving the borrower clear title.
Related Michigan Finance Questions
- In Michigan, a 'mortgage broker' differs from a 'mortgage banker' because:
- In Michigan, which of the following is an example of an 'impound account' (escrow account) maintained by the lender?
- In Michigan, a home equity line of credit (HELOC) is best described as:
- In Michigan, the Truth-in-Lending Act (TILA) requires lenders to disclose the loan's:
- Which of the following is a characteristic of a VA loan available to eligible Michigan veterans?
- In Michigan, a mortgage that is assumable allows:
- Under Michigan's Homestead Property Tax Credit, eligible homeowners can receive:
- In Michigan, the Principal Residence Exemption (PRE) reduces:
Practice More Michigan Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Michigan Quiz →