What does a seller's lawyer provide to demonstrate that a mortgage has been satisfied post-completion?

The provision of a mortgage payoff statement and letter is essential in demonstrating that a mortgage has been satisfied after the completion of a real estate transaction. This statement is a formal document from the lender that confirms the exact amount required to pay off the mortgage, including any interest, fees, or penalties that may be applicable. The accompanying letter serves to officially confirm that once this amount has been paid, the mortgage obligation is fulfilled, and the lender releases any claim to the property.

When a seller’s lawyer presents this documentation, it provides clear evidence that the seller has met their obligations under the mortgage agreement and that the lien on the property has been discharged. This is important for ensuring that the buyer can take ownership of the property free of any encumbrances related to the previous owner’s mortgage.

Other options, such as a detailed settlement statement or a statement confirming the transfer of title, refer to different aspects of the transaction. The settlement statement outlines the financial aspects of the sale but does not specifically indicate the status of the mortgage. A statement confirming the transfer of title focuses on the legal ownership rather than on the satisfaction of the mortgage. Meanwhile, a verified appraisal report offers an assessment of the property's value but does not address the mortgage status. Therefore, the mortgage payoff