release and reconvey???

[mincas]

What is the name of your state?

I live in Washington state. I refinanced my property but there was a lien on the property for another loan from the previous owner. Being real estate illiterate was my first mistake, and not getting help was the second. Anyway, when you have a form that states a person should release and reconvey what in plain old english does this mean? I can figure out word definitions, but am still having a problem with what exactly I am dealing with in terms of real estate law. Could someone please explain this to me with a short example? Maybe then it will come together for me.

 

[seniorjudge]

What is the name of your state?

I live in Washington state. I refinanced my property but there was a lien on the property for another loan from the previous owner. Being real estate illiterate was my first mistake, and not getting help was the second. Anyway, when you have a form that states a person should release and reconvey what in plain old english does this mean? I can figure out word definitions, but am still having a problem with what exactly I am dealing with in terms of real estate law. Could someone please explain this to me with a short example? Maybe then it will come together for me.

Release means that the lien no longer affects the property.

Reconvey means that any interest that the lienholder had in the land is given back to the landowner.

E.g., I borrow money from you and use my land as collateral. I sign a promissory note for $1000. I also sign a mortgage and you record it in the land deed records of the county where the land is located.

When I pay you all the money back, you give me a document which releases any hold you had on my land and that document also conveys any interest you might have had on my land back to me.

This is a very elementary and simple explanation. Hope it helps.