Definition
The transfer of property title from a lender back to the borrower upon full loan repayment, most common with trust deeds. The ceremonial return of your property's soul after years of mortgage servitude.
Example Usage
Three weeks after our final payment, the trustee recorded the deed of reconveyance, officially clearing the mortgage from our title.
Origin
Trust deed state property law terminology from 19th century American lending practices
Fun Fact
In some states, lenders face penalties for failing to record reconveyances promptly, but borrowers often don't notice for months or years that their titles weren't properly cleared.
Source: State-specific trust deed and mortgage law
Related Terms
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See “reconveyance” in Corporate Speak, Gen-Z Slang, Pirate Speak, and more.
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