Documents after mortgage payoff? (foreclosure, loan, house)

[bazcar]

Greetings All !

Ours is a pre-owned home.

a) What are the documents I should be getting from county clerk office and my mortgage company after I pay off my mortgage?

b) Is there anything like title transfer for the home from previous owner to me, like we do for vehicles?

c) Whom should I approach for the deed document, the county clerk office, mortgage company or the previous owner?

Your responses are highly appreciated.

Bazcar.

[nsumner]

That was quick: On your last payment, the bank will likely ask for a cashier's check to pay off your loan. After you pay off your mortgage, you will be getting your note from your mortgage company releasing the lien on your house. You should have it recorded at the courthouse.

There is no transfer from the previous owner. That took place when you purchased the house and got a mortgage.

The only time you would approach the previous owner is if you have owner financing on the house and the homeowner is still holding the deed.

Congrats if you paid off your loan!!!! that's a a great milestone these days!!!

Naima

[bazcar]

Thanks Naima!

I received a mail from a title services company offering to transfer the home title to my name for a fee (they also mentioned it is not mandatory by Texas law). I am not sure what they mean, can you please shed some light on this?

Also regarding the deed document, the county clerk office said I should have received the deed document at the time of purchase. I had thought my mortgage company would hold it till the mortgage is paid off, but they now say they do not have it. Typically from whom should I get the deed document?

Bazcar

[cdelena]

The deed is filed with the county although you may get a copy at closing. The only documents I ever got at payoff was a 'release of lien' after it is recorded at the county (may take six to eight weeks).

[galore]

Originally Posted by bazcar

Thanks Naima!

I received a mail from a title services company offering to transfer the home title to my name for a fee (they also mentioned it is not mandatory by Texas law). I am not sure what they mean, can you please shed some light on this?
Bazcar

This isn't necessary. In TX, your name should already be recorded. If you have a mortgage, the lender uses a security instrument called "deed of trust". Once you pay off the mortgage, the terms of this instruments are fulfilled.
When I paid mine off, the bank informed the county clerk and the new info was recorded. The bank also sent me a letter with the security instrument stamped with "PAID OFF". That was it. No title company involved and everything was free and automatic.

Originally Posted by bazcar

Also regarding the deed document, the county clerk office said I should have received the deed document at the time of purchase. I had thought my mortgage company would hold it till the mortgage is paid off, but they now say they do not have it. Typically from whom should I get the deed document?
Bazcar

No. This isn't like with a car.

[bazcar]

Thanks cdelena. I also received only the 'release of lien' document, and was concerned if there was anything else I should be getting that I was missing. Your reply cleared that, appreciate your response.

[bazcar]

Thanks galore, I called my bank and they said they would be mailing me some documents, I will watch out for something similar to the stamped security instrument from them.

[nsumner]

Hi Bazcar, I just want to confirm what you've been told here. You already are in possession of the deed. It's a 16 page document that you received from the title company when you purchased your house titled "deed of trust". Now just attach the release of lien that you received on it and you will have a clear title to your house.

I am not sure what the serivice the title company offered you. May be it was to record it. That's usually about $40-$60. Once it's recorded and it becomes public record, you will be getting a bunch of junk mail from mortgage companies offering you deals...

Naima

[bazcar]

Yes Naima, I was given a photocopy of the deed of trust at the time of purchase.

Now that the mortgage is paid off, shouldn't I get the original deed of trust instead of the photocopy that I currently have? I am assuming this is what my bank said they would be sending me, will know for sure once I receive it.

Also the deed of trust photocopy that I have is between the borrower (me) and the lender (my mortgage bank), and looks to be related to the loan and using the house as a collateral in event of a foreclosure. I was expecting the home deed to be a document between the buyer (me) and the seller (previous owner), and the seller relinquishing all rights to the buyer. Isn't this how it should logically be?

[bazcar]

please read my earlier post as
"I was expecting the home deed to be a document between the buyer (me) and the seller (previous owner), and the seller relinquishing all rights ON THE PURCHASED HOME to the buyer. Isn't this how it should logically be?"