Definition of Assignment of Deed of Trust Mortgage

Many mortgage loans are assigned to new lenders.

Assigning a deed of trust mortgage occurs when an existing mortgage loan is transferred to a new lender. It is assigned to transfer debt or sell the loan. Lenders frequently sell mortgages to other lenders.

Document Preparation

State laws impose regulations on the execution of assignments.

A document called an assignment is prepared to document the transfer. It usually states the names of the parties involved, the loan amount, location of the property and recording information of the original mortgage.

Assignor and Assignee

Contact your mortgage company for information regarding your assignment.

The lenders in this type of transaction are identified in the document. They are designated as the assignor and assignee. An assignor is the person assigning the property and an assignee is the person to which a transfer is made.

Document Recording

The documents are typically recorded in the registrar of deeds office.

The assignment is dated and signed by the assignor and usually filed in the county registrar of deeds office. Some states require the form to also be signed by one or more witnesses. Notary acknowledgment is typically required. The lending institution notifies the debtor about the transfer and furnishes the name and address of the new lender.

References

• The Free Dictionary: Assignor
• The Free Dictionary: Assignee
• The 'Lectric Law Library: Assignment of Mortgage or Deed of Trust

Resources

• Fannie Mae: Assignment of Deed of Trust (PDF)