This form is an Authority to Release. The county clerk is authorized and requested to release from a deed of trust a parcel of land to the executor of the estate. The form must be signed in the presence of a notary public.
New Mexico Authority to Release of Deed of Trust: A Comprehensive Guide Keywords: New Mexico, authority to release, deed of trust, mortgage lien, promissory note, legal document, foreclosure, lien release, borrower, lender, reconveyance, encumbrance. Description: The New Mexico Authority to Release of Deed of Trust is a legal document used to officially release a mortgage lien or encumbrance on real property located within the state of New Mexico. When a borrower completes the repayment of a mortgage loan, the lender grants authority to release the deed of trust, signifying that the debt has been satisfied and the property is now free from the encumbrance. Different Types of New Mexico Authority to Release of Deed of Trust: 1. Voluntary Release: This type of release occurs when the borrower successfully completes the repayment of the loan, fulfilling all their financial obligations stated in the promissory note and mortgage agreement. The lender acknowledges this fulfillment and voluntarily releases the deed of trust, allowing the borrower to gain clear ownership of the property. 2. Foreclosure Release: In cases where the borrower defaults on the mortgage payments or fails to meet their financial obligations, the lender may initiate foreclosure proceedings. However, if the borrower manages to rectify the default by paying off the outstanding debt, the lender will release the deed of trust, thereby cancelling the foreclosure process. 3. Re conveyance Release: If a borrower refinances their mortgage loan, the original lender may release the deed of trust in favor of a new lender, ensuring continuity of the encumbrance on the property. This process is known as reconveyance, where the old lender releases the deed of trust within a specified timeframe and transfers it to the new lender. 4. Partial Release: Sometimes, a borrower has multiple properties used as collateral for a single loan. In such cases, a lender may agree to release the deed of trust on one or more of these properties, allowing the borrower to retain ownership while reducing the mortgage encumbrance. The New Mexico Authority to Release of Deed of Trust is a crucial legal document that protects the rights of both borrowers and lenders. It serves as proof that the borrower has satisfied their financial obligations, while enabling lenders to release their security interest in the property. Lien release allows the borrower to sell, refinance, or transfer the property without any legal hindrance. In conclusion, the New Mexico Authority to Release of Deed of Trust is an essential document in the real estate transaction processes. It provides clarity and security for both borrowers and lenders and ensures a smooth transfer of property ownership.
