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Your Satisfaction is recorded under the names of the borrower/mortgagor on the original loan.
After the terms of a loan are satisfied, your lender will report your final payment to the major credit bureaus. The loan account on your credit report will be closed and marked as paid in full. Paying off debt will lower your debt to income ratio, docHubly improving your credit score.
You, your lawyer or your notary must discharge the mortgage and add your new lender to your propertys title. Some lenders charge other fees, including assignment fees when you switch to another lender. Ask your new lender if they will cover the costs of a mortgage discharge.
The total cost of processing the discharge of mortgage can be up to $350-1,000, depending on when the property is sold and where its located. The fees youll likely be asked to pay may include: Administration or discharge fee charged by your lender. Any interest or penalty interest due.
Does it cost to remove a name from a mortgage? Yes. Refinancing to remove a name requires closing costs which typically range from 2% to 5% of the loan balance. A loan assumption usually requires a fee of about 1% of the loan amount plus processing fees.
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When your mortgage is paid off you need to clear the title of the property by discharging the mortgage. This is done by recording a document at the Registry of Deeds usually called either a Discharge of Mortgage or a Satisfaction of Mortgage.
A satisfaction of mortgage is a document serving as evidence that youve paid off your mortgage in full, releasing the lien associated with the loan from your property and transferring the title to you. This document typically includes: Borrower and lender contact information. Loan and property information.
How long does it take to discharge a mortgage? Generally it takes between 14-21 business days to complete the discharge process. At one stage it took less time, around 10-14 business days, but these days more people are refinancing their home loan so there are more discharges taking place.
Step-by-step process Speak to your lender. Let them know about your intention to discharge your mortgage, and confirm the fees and how long it will take. Contact a broker or conveyancer. Fill in a Discharge Authority form. Your bank registers the discharge of mortgage. The discharge is finalised.
What is a Mortgage Release? A Mortgage Release is where you, the homeowner, voluntarily transfer the ownership of your property to the owner of your mortgage in exchange for a release from your mortgage loan and payments.

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