How can I confirm whether there are two mortgages or other liens on the house and who the lenders are? – North Carolina

Short Answer

In North Carolina, most mortgages and many other liens show up in public records kept by the county Register of Deeds and the Clerk of Superior Court. Confirming whether there are two mortgages usually means ordering (or personally running) a title search and then pulling the recorded documents for each lien to identify the lender, recording details, and current status (open, released, or foreclosed). A title company’s authorization form often allows it to collect payoff and lender information that is not available from public records alone.

Understanding the Problem

In North Carolina, a homeowner or buyer may need to confirm whether the property has one mortgage, two mortgages, or other liens, and identify the lenders behind each claim. The key decision point is whether the public record already identifies the lienholders clearly or whether lender information must be confirmed through payoff and servicing records. The question typically comes up when a title company reports “two mortgages,” the owner does not recognize one of them, and an authorization form arrives to permit verification with lenders.

Apply the Law

North Carolina follows a public-record system for real property. Most mortgage loans are secured by a recorded deed of trust, and many other property-related claims become enforceable against third parties only when properly filed and indexed in the county public records. Practically, confirming “two mortgages or other liens” means checking the county’s recorded land records (Register of Deeds) for deeds of trust and releases, and checking the county court records (Clerk of Superior Court) for certain liens that are filed or docketed through the courts. A title search ties these records to the correct owner names and the specific parcel, and it also checks for releases, assignments, and foreclosure notices that affect who the current lender or claimant is.

Key Requirements

Identify the correct property and owner names: A reliable search uses the parcel address plus the legal description and searches under current and prior owner names to avoid missing older liens.
Pull the recorded lien documents (not just an index result): The deed of trust, assignment(s), release/satisfaction, and any foreclosure notice usually show the lender, book/page or instrument number, and recording date.
Confirm current lienholder and payoff status: Even if a deed of trust lists an original lender, later assignments or loan servicing transfers can change who should be contacted for payoff or dispute resolution.

What the Statutes Say

N.C. Gen. Stat. § 161-22.1 (Indexing of real property instruments) – Requires the Register of Deeds to index certain recorded instruments so they can be found in a title search.
N.C. Gen. Stat. § 45-38 (Recording of foreclosure notice) – Requires a notice of foreclosure to be recorded and indexed, which can affect what a title search shows for an older deed of trust.
N.C. Gen. Stat. § 44A-65 (Certain liens filed with the Clerk of Superior Court) – Addresses filing and indexing of certain lien notices maintained by the Clerk of Superior Court.

Analysis

Apply the Rule to the Facts: The title company’s report of “two mortgages” likely comes from recorded land records showing two deeds of trust (or a deed of trust plus a separate lien) tied to the property and owner name. Because the caller does not recognize a second mortgage or the lenders, the next step is to obtain the recording details and copies of the documents so the named lender, trustee, and any later assignments can be reviewed. The authorization form matters because public records may identify the original lender but not the current loan servicer or a payoff contact; the authorization allows the title company (and attorneys) to confirm the current lienholder and whether the lien remains unpaid.

Process & Timing

Who files: No filing is required to “confirm,” but a search is performed. Where: County Register of Deeds (land records) and, for certain liens, the county Clerk of Superior Court (lien/judgment-related indexing). What: Copies of recorded deeds of trust, any assignments, any releases/satisfactions, and any recorded foreclosure notices. When: As soon as a title issue appears, and before any closing or refinance deadlines.
Confirm the second “mortgage” type: Determine whether it is a second deed of trust, a home equity line of credit, a recorded lien of another type, or an old lien that was paid but never released. Pulling the actual recorded documents usually answers this step quickly.
Confirm who to contact as the current lienholder: If assignments were recorded, they may show the current holder. If not, the recorded documents still provide enough information to request payoff/verification through the lender or servicer—often using the signed authorization and a standard payoff request.

Exceptions & Pitfalls

Paid loan but no release recorded: A prior mortgage can still “show up” if a satisfaction or release was never recorded, or was recorded with an indexing/name error that makes it hard to find.
Assignments and servicer changes: The deed of trust may name an original lender, but later recorded assignments (or unrecorded servicing transfers) can change who should be contacted for payoff and dispute issues.
Name variations and prior owners: A search that uses only the current name spelling or only the street address can miss liens indexed under a different name version or under a prior owner in the chain of title.
Non-Register of Deeds liens: Some liens are filed or indexed through other offices (often involving the courts). A “two mortgage” report sometimes includes a lien that is not actually a mortgage.
Authorization scope: An authorization form should be reviewed for what it permits (who may request payoff information, what accounts, and for how long). Overbroad authorizations can create privacy and fraud risks.

Conclusion

In North Carolina, confirming whether a house has two mortgages or other liens usually requires a title search of county public records and pulling the recorded documents for each item found. The key is to review deeds of trust, assignments, and releases to identify the lienholders and whether each lien remains in force. The next step is to obtain copies of the recorded items from the county Register of Deeds (and, if needed, check lien records through the Clerk of Superior Court) and promptly submit payoff verification requests using the authorization form if a deadline is pending.

Talk to a Real Estate Attorney

If there is confusion about whether a property has two mortgages or other liens—and who the lenders are—an attorney can review the recorded documents, confirm who should be contacted, and help spot release, assignment, and timing problems before they derail a closing or refinance. Call us today at (919) 341-7055.

Disclaimer: This article provides general information about North Carolina law based on the single question stated above. It is not legal advice for your specific situation and does not create an attorney-client relationship. Laws, procedures, and local practice can change and may vary by county. If you have a deadline, act promptly and speak with a licensed North Carolina attorney.