April 9, 2021
A partial lien release is a legal contract that enables your lender to release their lien on a part of your mortgaged property. Under the typical terms of a partial release, if you pay down a certain amount of your mortgage principal, your lender will agree to release some of your property from the loan contract.
Maybe someone makes you an attractive offer to buy part of your property. Or maybe a utility company needs to run power or cable lines through your property. To sell just part of your mortgaged property, a land transaction between you and the buyer must take place. That transaction must provide the buyer with a clear title to the piece of land you’re selling, so you’ll need a partial release of a mortgage lien from your lender—which we’ll help you obtain.
A land transaction is basically a legal agreement to make changes to the amount of property that secures your mortgage loan (or to change the property rights). There’s a broad range of land transactions that can require a partial lien release, and we can handle any type of transaction, including:
To qualify for a partial lien release, your loan, your property, and your land transaction must meet several requirements. The most basic ones are:
There are other requirements your loan, your property, and your transaction must meet to be eligible for a partial lien release. For a complete list of requirements, refer to our Land Transaction Request Requirements document.
Every land transaction is different, and we can’t advise you about the best way to complete your transaction. We also can’t advise you about any tax implications or local zoning regulations. The process of getting a partial lien release can be complex, so we recommend that you work with a reputable real estate attorney or title agent. Your attorney or title agent will guide you through the entire process, which includes reviewing your loan documents, checking your local zoning laws, gathering multiple documents, completing several forms, and more.
Your attorney or title agent will also represent you and work with us on your behalf. To give us permission to work directly with your representative, please complete and submit our Third-Party Authorization Form. Send your completed form to us, along with your other documents, at the address shown below.
Expect to pay us these amounts to approve your transaction and issue a partial lien release:
Depending on your unique situation, you may need to pay other fees as well (such as a title-search fee). Your real estate attorney or title agent will help you identify all required fees.
Note: We do not charge processing/approval fees for eminent domain requests, or to correct legal-description errors that are our fault.
Your real estate attorney or title agent will help you gather and complete all of the required documents and forms. After you’ve met all the requirements described in our Land Transaction Request Requirements document, complete the Land Transaction Request Form. Then send your completed Land Transaction Request Form and all supporting documents by email (if they’re scanned digital files) or by regular mail to one of these addresses:
Shellpoint Mortgage Servicing
Attention: Doc Curative—Land Transactions
75 Beattie Place, Suite 700
Greenville, SC 29601