Escrow & Title
In Texas, a 'blanket mortgage' or 'blanket lien' in real estate is a mortgage that covers:
AAll possible future damages to a property
BMultiple properties as collateral for one loan, with a release clause allowing individual properties to be sold and released from the lien✓ Correct
CAn entire neighborhood under one HOA
DBoth the land and improvements as separate collateral items
Explanation
A blanket mortgage encumbers multiple properties under a single loan. This is common in development financing where a builder pledges multiple lots as collateral. A release clause allows individual lots to be released from the blanket lien as they are sold, upon payment of a specified release price.
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