why have we been sent the deeds for our house when we are still paying for it with a mortgage?

Answer 1

You should have a copy of the Title Deed and the mortgage company has a copy.

Answer 2

A mortgage doesn't work like a car loan where the lender keeps the title papers until it's paid off, then sends them to you. When you buy a house, you get the deed, but can't sell it without paying off the mortgage. If you want to sell before then, the mortgage is paid off in the closing process - that much of the sale price is given to the mortgage holder, not to you.

Answer 3

What you did is create two separate instruments;
1.) The promissory note which created the debt and
2.) The mortgage which is the agreement you gave the lender to take you to court to acquire the property from you if you do not pay on the note.
To be able to give the lender the mortgage you have to have title to the property giving you the right to place a mortgage on the property. That is why the seller is required to give you the deed at closing when he/she gets paid at closing from the proceeds you borrowed.
Buena Suerte

Answer 4

You get the deed as evidence of ownership because you DO own the property. You borrowed to pay for it, but you own it. In exchange for all that money you paid at your closing, you gave the mortgage lender the RIGHT to take your home if you do not repay the lender. Only if you do not meet the obligations of the mortgage loan contract can you involuntarily lose your ownership.

Answer 5

House deeds are now recorded electronically by the Land Registry. The old copies of the deeds are no longer required by the building society or the Land Registry so they are usually send to the home owner to keep.

Answer 6

Some banks are happy for you to hold onto the deeds. Your mortgage is still secured on the property - no matter who holds the deeds the bank still have the right to repossess it.

Answer 7

Because you own the house. It is simply secured against your mortgage. That's the nature of the loan.

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