Home Equity Liens

[Kristy Petree]

Hey George,
I am stumped! A Deed of Trust was recorded on the same day as the WD in 1998 in which I can't find a Release of Lien. The loan that is being foreclosed on is a Home Equity Loan recorded in 2005 which states on this Deed of Trust that it is a FIRST lien. Does this lien take priority over the DT filed first 1998 even though I can't find a release? Thanks

[George Roddy, Jr.]

Kristy,

Did you look you a the last few pages of the HE lien document? You are looking for a Renewal and Extention Exhibit. Give me the address and I will research it. I only charge $50!!! :)

George

[Kristy Petree]

Looked for Renewal&Extention but only found Fixed Adj. Rate Rider. Name: Gregory Konikowski
14542 Hunters Pass Austin Tx
L819-820 Apache Shores 2
See what you think...checks in the mail.

[Steve Smegner]

Kristy,
Did you get a resolution? I ran into this on a couple of occassions with standard 1st liens. Once paid off the bank mailed a release along with the original note. The homeowner never recorded the release.

HELOC's tend to be an open line of credit for some time. Is the HELOC still open but with a zero balance? If so I suspect they will need to formally close the HELOC. As George mentioned if the time period is up on the HELOC it will have to be renewed but even so the release does not occur until the balance is paid off.

I do not know if it works exectly the same for a HELOC but you may want to check with the owner to see if they ever received a release document in the mail. They probably never recorded it.