A mortgage follows the note and thus assignment of mortgage note results in assignment of a mortgage.
In other words, a mortgage cannot be assigned without transferring the note.
Although a lender is not required to inform a borrower prior to mortgage assignment, s/he must send a notification after a mortgage sale has taken place informing the borrower how to make mortgage payments in the future.
The borrower can negotiate mortgage terms with the new lender and seek mortgage modification.
An assignment of mortgage form also signifies that an assignment of contract has occurred and mortgage has been transferred.
A mortgage holder or a borrower can assign the mortgage to a third party.A mortgage deed refers to a deed accompanied by a mortgaged loan note.Every mortgage deed involves two steps: a promissory note and a mortgage.For many, getting mortgages assigned is a kind of real estate investing practice.The third party to whom the mortgage is assigned to is a real estate investor who reaps the benefits of one of the party's desperateness.If you are a borrower and you receive a notice that your mortgage has been transferred to another lender, you should get in touch with your lender and confirm it.You should also secure details of the person to whom the mortgage was sold to.If you are a new lender and do not have a valid mortgage assignment document, you will be disadvantaged if you have to move for foreclosure.In the event mortgage payments stop, you may want to move the local court for foreclosure and take ownership of the property mortgaged.Therefore, assignment of note and mortgage happen simultaneously.Mortgage assignments are beneficial to both home sellers as well as buyers.