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Mortgage Release Certificate Program

Tie-Up Loose Ends

Unreleased mortgages often delay real estate closings. The Mortgage Release Certificate Program (MRCP) is a simple and inexpensive way to obtain a release of a mortgage that has been paid in full but inproperly released or not released of record. A lender, attorney, abstractor, real estate broker or licensed closing agent must complete an online application to request a mortgage release certificate.

Application Process

To file a request for a Mortgage Release Certificate, a lender, attorney, abstractor, real estate broker or licensed closing agent may complete an online application.

Documentation Requirements

  • $200 nonrefundable payment by e-check or credit card. (If the outstanding mortgage was paid off by an Iowa Title Guaranty participant using the Rapid Certificate program, the fee is waived.)
  • Payoff statement: written documentation from the mortgage servicer showing the amount owed and address for payment.
  • Proof of payment: cancelled check or wire transfer receipt.
  • Any additional supplemental documentation, including written closure request from borrower to lender if mortgage involves a line of credit.
  • If lender or servicer is no longer in business, an Affidavit from the applicant when notice is to be published.

Servicing Notice and Filing the Release

  • Application will be processed promptly upon submission.
  • Iowa Title Guaranty shall notify the lender or servicer by certified mail of the intent to execute and record a Mortgage Release Certificate.
  • If there is no lender or servicer to whom ITG can send the notice, ITG shall provide the applicant with a notice to be published. The applicant is responsible for publishing the notice in teh county where the mortgage was recorded, once per week for three consecutive weeks. Upon completion of service by publication, applicant must provide Iowa Title Guaranty with the Affidavit of Publication.
  • The lender or servicer must provide written objection to Iowa Title Guaranty within 30 days from the effective date of the service. Should the lender or servicer fail to respond within the 30 day period, ITG shall proceed with recording the Mortgage Release Certificate.

FAQs

  • What if the loan payoff statement and cancelled check are not available? ITG may be able to accept a combination of other documentation as proof of payoff such as a credit report showing zero balance, promissory note marked as “Paid in Full”, purported release of the mortgage and/or paid in full letter from the servicer.
  • What if the mortgage was a line of credit? For open-end/line-of-credit mortgages, Iowa Title Guaranty requires documentation signed by the borrowers requesting the closing of their account at a time of payoff along with all other payoff documentation.
  • What if the property with the mortgage went through a short sale? Please provide the short sale letter from the lender/servicer along with the Settlement Statement.
  • What if the mortgage was released by the servicer, but the release is ineffective due to a missing assignment or power of attorney? The Mortgage Release Certificate will still effectively release the mortgage.
  • What if the lender or servicer is no longer in business or cannot be located? If service by certified mail is not possible because the servicer or lender is no longer in business, or after exercising due diligence the applicant was unable to locate an address for the mortgage servicer, Iowa Title Guaranty will draft a notice for publication. The applicant must publish the notice once per week for three consecutive weeks. Upon completion of service by publication, applicant must provide Iowa Title Guaranty with the Affidavit of Publication.

For inquiries about Iowa Title Guaranty, please contact:

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