December 2008 Vol. 1, No. 7

Procedural Update

Mortgage Certificates of Release

Many title companies have recently started to make use of the Illinois Mortgage Certificate of Release Act, 765 ILCS 935/1, et seq. For that reason, ATG members are starting to see in title searches mortgages released by certificates of release.

When you find a mortgage certificate of release used to release a mortgage in your search, please review the certificate of release to see that it meets the following requirements:

  1. The property subject to the mortgage must be an interest in one-to-four family residential real property.
  2. The mortgage released must have secured a loan in the original principal amount of less than $500,000.
  3. The mortgage released must be a mortgage or a deed of trust, but not a trust deed.
  4. The certificate of release must have been signed by an officer of a title insurance company or an appointed agent of a title insurance company.
  5. The certificate of release must be executed and acknowledged in the same manner as any deed.

If you have questions, please contact the ATG Underwriting Department, legal@atgf.com, 217.403.0020, or 312.752.1990.

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