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Intermediate0.5 hours14 terms

Deed of Release Key Terms Glossary

This collection offers carefully selected key terms that might be helpful when exploring the concept of a Deed of Release in real estate investment. It provides clear explanations for commonly referenced concepts, supporting your understanding of this important legal instrument without aiming for exhaustive coverage.

Term Collection

1

Title

Title in real estate refers to the legal right of ownership to a property, representing a bundle of rights that an owner possesses over their land and any structures on it.

Beginner13-14 min
2

Refinancing

Refinancing is the process of replacing an existing mortgage or loan with a new one, often to secure better terms, lower interest rates, or access built-up property equity.

Intermediate15-18 min
3

Release Clause

A contractual provision allowing a party to be freed from specific obligations or to free certain assets from a lien or encumbrance upon the fulfillment of predefined conditions, often involving a payment or performance.

Advanced6 min
4

Foreclosure

Foreclosure is the legal process by which a lender takes possession of a property when the borrower fails to make mortgage payments, leading to the sale of the property to recover the outstanding debt.

Beginner12-15 min
5

Mortgage

A mortgage is a loan obtained from a lender to purchase real estate, where the property itself serves as collateral for the debt. Borrowers make regular payments, including principal and interest, over a set period until the loan is fully repaid.

Beginner15-18 min
6

Lien Release

A legal document issued by a lienholder acknowledging that a debt has been fully paid and the lien on a property has been removed. It is crucial for clearing title and enabling property transfers.

Intermediate5 min
7

Partial Release

A partial release is a clause in a mortgage or deed of trust that allows a borrower to obtain a release of a portion of the collateral from the lien, typically upon payment of a specified amount.

Advanced5-6 min
8

Deed of Release

A Deed of Release is a legal instrument used in real estate to formally remove a lien, mortgage, or other encumbrance from a property's title, typically after the underlying debt or obligation has been fully satisfied. It clears the property of the specific claim, ensuring a clean title.

Advanced8-9 min
9

Encumbrance

A claim or liability against a real estate property that affects its title and may diminish its value or restrict its use, but does not prevent its transfer.

Intermediate11-12 min
10

Lien

A lien is a legal claim or right against a property, granted to a creditor, which serves as security for a debt or obligation until it is satisfied.

Intermediate18-20 min
11

Promissory Note

A promissory note is a legally binding written promise by one party to pay a specific sum of money to another party on a specified date or on demand, outlining all loan terms.

Beginner15-18 min
12

Title Insurance

Title insurance protects real estate owners and lenders against financial loss from defects in a property's title, ensuring clear ownership and safeguarding against past claims.

Intermediate13-14 min
13

Blanket Mortgage

A blanket mortgage is a single loan secured by multiple parcels of real estate, often used by developers or investors acquiring several properties simultaneously, featuring a crucial release clause for individual property sales.

Advanced5 min
14

Trustee

A trustee is an individual or entity legally entrusted with managing assets or property for the benefit of another party (the beneficiary) under the terms of a trust agreement, upholding strict fiduciary duties.

Intermediate13-14 min

Common Questions