In Part Two of this training, we focus on what happens after the offer is accepted, specifically when the property being sold has a mortgage or lien.
We’ll cover timelines, lender coordination, disbursement procedures, and what to expect at the closing table. You’ll learn how escrow handles partial payouts, how the loan cancellation is reflected in the deed, and how to keep your buyer secure while ensuring your seller receives their remaining funds. Real examples and best practices will help you feel confident navigating even the most complex closings.
Key Points
Initial Checklist for Listing Agents
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Ask the seller directly if the property has a mortgage or is being used as collateral.
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Request scanned copies of both deeds (purchase deed and mortgage deed) if applicable.
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Upload scanned deeds to the internal server and bring originals to closing.
How to Identify a Mortgage on a Property
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Review the escritura for loan clauses.
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Ask sellers if they’ve used the home for a loan post-purchase.
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Examples to review: Taheima, Casa Camacho, Casa Fresnos, Oceano Plata, Casa Sol y Luna.
Understand the Lender Type
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Bank
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INFONAVIT
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COFINAVIT
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Personal loan
Important Questions to Ask the Seller Early
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Is the loan already paid off?
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What is the outstanding balance?
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Can the payoff be made from escrow or does it require direct seller payment?
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When is the loan’s payment cutoff date?
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Start the conversation about the Carta Saldo (loan payoff letter) even before an offer.
What to Do When You Have an Offer
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Request the Carta Saldo addressed to the notary.
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Understand lender timelines—some update closer to closing.
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Coordinate with the notary and buyer agent.
Cost Considerations
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Request a Capital Gains Tax estimate.
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Get a mortgage cancellation cost estimate as part of your closing cost overview.
Setting Expectations with the Buyer (Cash Buyer)
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Confirm who the lender is (bank, INFONAVIT, etc.).
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Expect a minimum of 3 months to close (faster only if all documents are ready).
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Delivery of property happens at the closing table.
Buyer Protections at Closing
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Full purchase funds must be in escrow before closing.
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Part of the funds will go to pay off the seller’s loan.
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Remainder held in escrow until loan cancellation is confirmed.
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Example: Casa Fresnos disbursement structure.
What the Deed Will Say
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First section confirms the loan cancellation.
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This is perfected once the official lender letter is received.
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Be transparent about timing—Scotiabank, for instance, can take weeks.
