Before going in detail about the deed and mortgage processing, it is important to understand how important mortgage deed is. Since the mortgage deed is the legal proof of the interest transferred to the mortgage owner, it holds prime importance in any mortgage loan process. It involves meticulous documentation and verification of records and hence need to be handled with care. Businesses often outsource mortgage processing support services to ensure proper verification of documents and mitigate risks. When the property holder takes a loan through a mortgage, it is vital for the holder to transfer an interest in the real estate to secure the loan. This property interest transferred gives the owner the right to keep a lien on the property, and the right to take ownership upon the lien, if the mortgage is not paid according to the agreement.
Given below are five key steps for error-free deed and mortgage processing services
- Understanding the Mortgage Process
Some states use documents called mortgage deeds, or a deed of trust, while in others they may permit both. The transference begins with the names of the owners and it closes with the execution and attestation clauses. Outsource deed processing support services when it becomes difficult to understand and follow the process for different locations. Deeds are public records that are filed with the fee in the registry office. When the loan amount is cleared then another document is filed at the registrar office called satisfaction of mortgage. It symbolizes that the lender no longer has any legal interest in the real estate. Lenders have to file this under the state law within a certain amount of time after loan is cleared, but it’s a good idea for borrowers to make sure these documents are in order.
- Filling the Application Form
It is a very important step to start with. Borrowers have to fill the application form and attach the necessary documents along with it. Then, they have to pay the processing fee and get their documents evaluated. After the sanction/approval process, the offer letter is given. The details filled up and the documents are cross-checked and verified. This is a time-taking process which is often outsourced.
- Understanding your costs through estimation and disclosures
Once the offer letter is given, it is followed by a legal check, technical check, and site estimation. The loan is disbursed after signing the final agreement. Therefore, it is very important to know every aspect of the final agreement or deed including costs and tenure before signing it. You can also go for mortgage loan processing support to take a better decision.
- Closing of the Mortgage loan
Your home loan is approved and now you are ready to move to your new house. Closing involves the signing of all the documents and legal transfer of the property in the name of the holder. At the time of closing, you will need the mortgage note, deed of trust, the deed, affidavits, and declarations. Outsourcing mortgage processing support can really help you in getting all the documents and legal formalities right.
- Owning your home
After all the outstanding dues have been paid, you must write a letter to the bank requesting them to return your original documents. It will give back your original documents and along with a NOC stating that it no longer has an interest in the real estate.