Deed of Reconveyance

A deed of reconveyance releases a deed-of-trust claim from the property record after the secured mortgage debt is paid.

A deed of reconveyance is a recorded document used in deed-of-trust states to release the lender’s security interest after the secured mortgage debt has been paid.

Why It Matters

Deed of reconveyance matters because paying off a mortgage and clearing the public record are related but separate steps. A borrower may have fully paid the debt, but the property record still needs a release document so the old Deed of Trust no longer appears as an active claim.

It also matters because deed-of-trust language can differ from ordinary mortgage language. In some places, borrowers may hear “satisfaction of mortgage.” In a deed-of-trust structure, the release document may instead be described as a deed of reconveyance.

Where It Appears in the Borrower Process

Borrowers usually encounter a deed of reconveyance after a sale payoff, refinance payoff, or final payoff of the mortgage. The servicer or release-processing party may prepare or trigger the release after the payoff funds clear, and the document is then sent for Recording.

The term becomes practical when a later Title Search checks whether an old mortgage claim has actually been cleared from the public record.

Deed of Reconveyance Compared with Nearby Terms

TermMain ideaBorrower-facing difference
Deed of reconveyanceReleases a deed-of-trust claim after payoffUsed in deed-of-trust structures to clear the old secured claim
Release of LienBroader lien-clearing resultCovers the general idea that a recorded claim has been cleared
Satisfaction of MortgageRecorded release of a paid mortgage claimSimilar payoff-release result, often mortgage-label rather than deed-of-trust label
Payoff StatementAmount needed to fully pay the loan by a dateComes before release; it is not the release document
Deed of TrustSecurity instrument using a trustee structureThe recorded security document being cleared
RecordingFiling a document in the public property recordThe step that makes the release visible in the record
Clear TitleRecord is clean enough for transfer and insuranceThe broader title condition the release helps support

Practical Example

A homeowner refinances. The new loan pays off the old deed of trust. After payoff funds clear, a deed of reconveyance is recorded so the old deed-of-trust claim no longer appears as an active mortgage lien against the property.

How It Differs From Nearby Terms

Deed of reconveyance differs from Payoff Statement because the payoff statement shows the amount needed to satisfy the debt, while the deed of reconveyance is the later record-release document.

It differs from Satisfaction of Mortgage mainly by document label and security-instrument structure. Both point to release after payoff, but deed of reconveyance is especially tied to deed-of-trust terminology.

It also differs from Deed of Trust because the deed of trust creates or documents the secured property claim. The deed of reconveyance releases that claim after payoff.

It differs from Release of Lien because release of lien is the broader clearing concept, while deed of reconveyance is a common deed-of-trust release document.

It differs from Clear Title because clear title is the broader transaction condition. A deed of reconveyance is one document that may help remove an old mortgage claim from the record.

Knowledge Check

  1. Does a deed of reconveyance come before or after payoff? It normally comes after payoff, because it releases the recorded deed-of-trust claim once the secured debt has been satisfied.
  2. Why does the document matter if the borrower already paid the loan? The payoff clears the debt relationship, but the public record still needs a release document so future title work does not show the old claim as active.
Revised on Saturday, May 23, 2026