Most states have statutes that provide that a mortgage or deed of trust may be discharged in the county land records by the recorder of deeds. Generally these statutes proved that a certificate must be filed with said recorder and executed by the mortgagee or on its behalf and acknowledged as prescribed by law. The certificate must specify that the mortgage has been paid or otherwise satisfied or discharged, and should make a reference to the book and page containing the original mortgage or deed of trust.
This form is a generic example that may be referred to when preparing such a form for your particular state. It is for illustrative purposes only. Local laws should be consulted to determine any specific requirements for such a form in a particular jurisdiction.
A North Carolina Satisfaction of Mortgage by a Corporation is a legal document that indicates a corporation has fulfilled its mortgage obligations regarding a property located in North Carolina. It serves as proof that the mortgage loan has been paid in full and the property is now free from any liens or encumbrances. When a corporation obtains a mortgage loan to finance the purchase of real estate, they are obligated to repay the loan in regular installments over a specified period of time. Once the loan is fully repaid, the corporation is required to obtain a Satisfaction of Mortgage to officially release the lien on the property. In North Carolina, there are several types of Satisfaction of Mortgage by a Corporation: 1. Full Satisfaction: This type of Satisfaction of Mortgage is issued when the corporation has repaid the mortgage loan in its entirety. It signifies that the corporation has fulfilled all its financial obligations and the property is no longer encumbered by the mortgage. 2. Partial Satisfaction: Sometimes, a corporation may only pay off a portion of the mortgage loan. In such cases, a Partial Satisfaction of Mortgage is obtained, indicating the reduction in the outstanding loan balance. The remaining mortgage balance will still be enforceable, but only on the reduced portion of the property. 3. Release of Lien: If a corporation wants to sell a property with an existing mortgage, they may obtain a Release of Lien. This document is used to confirm that the lender agrees to release the specific property from the mortgage, allowing for a smooth transfer of ownership. 4. Subordination Agreement: In certain circumstances, a corporation may seek a Subordination Agreement, which modifies the priority of their mortgage lien. This agreement allows a subsequent lender to take priority over the existing mortgage, typically for the purpose of securing additional financing. It is important for corporations in North Carolina to promptly obtain a Satisfaction of Mortgage by a Corporation after the mortgage loan has been repaid. This document protects the corporation's interest and provides legal evidence that the mortgage obligations have been satisfied. Failure to obtain the satisfaction may cause difficulties in future property transactions and could potentially affect the corporation's creditworthiness. In conclusion, a North Carolina Satisfaction of Mortgage by a Corporation is a crucial legal document that signifies the fulfillment of a corporation's mortgage obligations. Understanding the various types of satisfaction, such as full satisfaction, partial satisfaction, release of lien, and subordination agreement, is essential for corporations engaging in property transactions or seeking to modify their mortgage arrangements.
