Escrow & Title

A West Virginia title company discovers a previously unreleased mortgage from 1995. Before issuing a title policy, they will require:

AThe buyer to accept the lien as part of the purchase
BThe seller to obtain and record a Deed of Release from the old lender✓ Correct
CThe buyer's lender to guarantee payment of the old mortgage
DThe county assessor to certify the lien's current balance

Explanation

An unreleased mortgage is a title defect that must be cleared before insuring title. The title company will require the seller to obtain a Deed of Release (also called a satisfaction or discharge) from the original lender and have it recorded to clear the lien.

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