( (+34) 968 19 50 45 ·  info@imontlegal.

com
· } Mon - Fri 09:00-14:00 & %
! * " # ' CONTACT US

The
cancellation of
the mortgage
and its
registration in
the Land
Register
10/10/2022

We can define the cancellation of the registered

mortgage as the operation that is carried out in
order to make the burden that it is registered on
the property disappear from the Land Registry,
once the debt with the bank disappears, by the
different means that exist for this purpose.

However, it is important to point out that there

are like two steps to follow when it comes to
mortgage cancellation.

Formalities involved in
mortgage cancellation
In the first instance, the mortgage must be
cancelled, once you wish or are able to do so.
That is to say, the debt with the bank from which
we obtained the corresponding loan. This
cancellation is done by paying the bank the
amount due.

Once the debt with the bank has been paid off,
either in advance or at the end of the life of the
loan, the bank will issue a “zero debt” certificate,
which certifies that we are no longer in debt to
the bank.

With this cancellation, we stop owing money to

the bank and officially no longer have a
mortgage. However, in the Property Register
there is still the mention that, at the time of
acquiring the property, we constituted the
mortgage.

Now, is it necessary and compulsory to cancel

the mortgage with the Land Registry? The
answer is clearly no, it is not compulsory, but it is
advisable and convenient.

Therefore, you can choose between requesting

the cancellation of the mortgage with the Land
Registry or leaving the property with the
registration of the mortgage, even if it is
economically cancelled.

How should the

cancellation of the
mortgage be registered
in the Land Registry?
In order to be able to register the cancellation of
the mortgage in the Land Registry, the notarially
signed deed must be presented to the Land
Registry, which certifies the cancellation, as well
as the settlement of the corresponding taxes. It is
important to note that, in order to sign the
mortgage cancellation deed, the owner of the
property and former debtor does not have to go
to the notary’s office, but only and exclusively the
bank that granted the loan.

Advantages of
registering the
cancellation in the
Property Register
Currently, the tax to be paid for the

cancellation of the mortgage is zero; that is

to say, although the tax has to be paid to

the Tax Office, there will not be any amount

to pay.

Having cancelled the mortgage financially

and in the registry, it is possible to apply for

a new mortgage in the future.

The value of a property free of

encumbrances and debts is higher than a

mortgaged property, especially if you

intend to sell the property in the future. In

addition, the future buyer will demand,

when acquiring the property, that the debts

are cancelled in the registry.

Therefore, we can say that, although the

cancellation of the mortgage in the Land
Registry is not compulsory, it is highly advisable
in order to leave the mortgage free of any debt
or burden.

Have you applied for a mortgage loan and have

you finished paying off that debt with the bank?
Do you know how you can cancel the mortgage?
If you want to make your mortgaged property
debt free, now you can do it with Imont Legal
Services. We are at your disposal to provide you
with all the necessary information and to solve
any of your doubts regarding our work in real
estate taxation, as well as any of the other
branches of law to which we are dedicated.

PREVIOUS POST

Golden Visa: The great benefits of the

visa for inverstors

NEXT POST

What you need to know if your

company has been cyber-attacked by
a hacker

0 SHARES

! $

Related Posts

Key points in the reservation contract for

the sale of a home
02/11/2022

House eviction and the importance of the

formal notice
24/10/2022

Recent Articles

Key points in the reservation

contract for the sale of a home
} 02/11/2022

House eviction and the importance

of the formal notice
} 24/10/2022

What you need to know if your

company has been cyber-attacked
by a hacker
} 17/10/2022

Golden Visa: The great benefits of

the visa for inverstors
} 03/10/2022

Changes established by the new

Bankruptcy Law
} 27/09/2022

Subscribe

Name *

E-mail*

SUBSCRIBE

! " #

Murcia

Av. de la Unión, 82 – 30730

San Javier, Murcia

(+34) 968 19 50 45
info@imontlegal.com

Alicante, Costa Blanca-Sur

Urb. La Zenia, callle Malaquita locales 15-16, 03189 –

Orihuela

(+34) 966 10 49 74
info@imontlegal.com

Alicante, Costa Blanca-Norte

Terramar business center 13.3 Avinguda País

Valencià, 7, 03509 Finestrat, Alicante

(+34) 966 011 322

info@imontlegal.com

Madrid

Calle Orense, 23. 2ºC. 28020 Madrid

(+34) 910 590 244

info@imontlegal.com
+

,
Need Help? Chat with us

*
Copyright 2022 imont Legal Services, All Rights Reserved.
Privacy - Terms