What happens when mortgage is paid off?

Dr_Wu

Hi

We're in the fortunate position of only having a couple of payments left on the mortgage.

Just wondering if we have to do anything regarding the deeds of the house once the final payment is made?

We live in Scotland and the mortgage (repayment) is with First Direct.

Thanks in advance

davidmcn

If you want the lender's interest removed from the property then you'll need to get a Discharge deed signed by them and registered at the Land Register (or Register of Sasines). Normally a fairly cheap job for a solicitor to do. You can DIY it, but I'm not sure the learning curve is worth it.

Or the money-saving option is just to forget about it until the next time you sell (or mortgage) the house, and the solicitor can deal with it then (because you don't usually get any discount on their fixed fee for the job having previously been done!). Occasionally though that leads to problems because the bank has trouble finding the account they closed years ago.