Have you finished paying your house or apartment? These are the steps to raise your mortgage in Ecuador

Mariuxi has been paying for her house on the road to Daule for two years. She took out her 20-year mortgage loan, that is, she has 18 years left to get out of that debt.

She imagined that when she finished paying off her house, that process would end there, until a relative told her that she had to raise the mortgage. “I’m honest: I don’t know much about this subject; but, even if there are many years to go, I already asked, and all thanks to a relative with whom we talked about it the other day”, says Mariuxi, who aspires to pay more towards the debt to reduce those 18 years.

Just as when a home or apartment is purchased, a series of payment procedures are carried out, also when concluding with that debt it is necessary to cancel that mortgage.

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Verónica Viteri, financial director of Uribe Schwarzkopfexplains that, once the payment obligation is concluded, the citizen or client must Approach your account executive and formally request the release of your property mortgage through a pre-established form, which the financial institution has, or with a formal letter.

For example, in the case of Mariuxi, who took out her mortgage loan at the Bank of the Ecuadorian Social Security Institute (Biess), that is where she should go.

“The executive should be asked the approximate time that the internal process takes in the bank, in order to monitor the process at that time. It is important that, during this process, the payments of credit cards or other vehicle or consumer credits that they maintain assets are up-to-date even in said institution”, highlights Viteri.

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Giovanni Burgos, commercial manager of Dibiens SApoints out that the procedure is not complex, because the creditor entity itself explains the steps and requirements, which are usually the following:

• Written and signed request stating the details of the property and credit operation number. In addition, once the debt is completed, the lifting of the legal measures that weigh on the property is requested.
• Domain history certificate issued by the Property Registry of the relevant canton.
• Certificate that does not owe values ​​to the creditor entity.
• Copy of the mortgage deed.

“Once the documentation has been delivered to the creditor entity, the internal verification process must be awaited, which will result in the delivery of the mortgage cancellation document.Burgos says.

Viteri mentions that, with the mortgage release document delivered by the financial institution, “the client has the responsibility to perfect (translate to public deed) the mortgage release deed with the support of his private attorney.”

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So, according to Burgos, the citizen or client can go to a trusted notary for this procedure. “You must coordinate the signature of the person authorized by the creditor entity. And, once the deed is signed, it is sent to the notary, where it is signed by the notary and the respective delivery is made, in general, of two copies of the deed for entry into the Property Registry”, argues Burgos.

It adds that, when the mortgage cancellation procedure is entered in the Property Registry, You must wait between five and ten days to obtain the registered deed of this completion process. “Leaving the real estate without any encumbrances,” she emphasizes.

Are there costs?

According to Burgos, the first cost is generated when the client goes to the creditor entity to request the release of the mortgage. The issuance of this mortgage cancellation minute has a value, which depends on the institution itself.

Another cost is when the minute is raised to a public deed, that is, the values ​​for fees at the notary’s office. And a third item is in the Property Registry.

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Viteri highlights that these procedures are common at the national level; however, it will depend on the internal policies of each financial institution.

Both Burgos and Viteri indicate that, once the mortgage is lifted, the citizen can sell his house if he wishes.

“The property is owned by the client from the moment they sign the deed of sale and mortgage. What the lifting of the mortgage allows is to sell it to a third party or mortgage it to another institution to support personal credit operations that the client requires for their economic activity”, Viteri points out. (YO)