To resolve this situation quickly, you’ll need to push on a few fronts simultaneously to ensure that your title is cleared and your home equity loan can proceed smoothly. Here’s a step-by-step approach:

1. Title Company Involvement
Contact the title company that handled your refinancing in 2021. They should have issued a release of the old mortgage (Company A) as part of the closing. Ask them to provide you with proof of the release and request their assistance in clearing this issue with the county recorder’s office, if necessary. Title companies often have more direct access to the recording office and can speed up the process.
2. Escalate with Mortgage Company A
Escalate the issue within Mortgage Company A. Ask to speak with a supervisor or a department that handles lien releases specifically. Explain that the presence of this lien is blocking your ability to take out a home equity loan and emphasize the urgency of the situation. See if they can expedite the release process given the circumstances. Keep records of every conversation, including names, dates, and times.
3. Work with Your Current Home Equity Lender
Communicate with your home equity lender and let them know the steps you are taking. Make it clear that you’re actively resolving the issue and ask if there is anything they can do in the meantime, such as a conditional approval pending the resolution of the lien issue. Lenders may have flexibility to work with you while waiting for the title to be cleared.
4. Consider Hiring a Real Estate Attorney
Consult a real estate attorney if you’re not seeing progress quickly enough. Attorneys can be very effective at applying pressure to mortgage companies and title companies to get issues like this resolved. They may also be able to negotiate with your home equity lender to keep the process moving forward while the title is being corrected.
5. Check with the County Recorder’s Office
Visit or call your local county recorder’s office to see if they can provide any information about the current status of the liens on your property. Sometimes a lien release may not have been properly recorded even though it was issued. If the release was filed but not recorded properly, you may be able to expedite the correction directly with the recorder’s office.
6. Get Temporary Financing
If the above steps are taking longer than expected and you need to pay your contractor in the short term, consider temporary financing options such as a personal loan, credit card, or line of credit to bridge the gap. This can help you meet your obligations while the title issue is being resolved.
7. Document Everything
Keep detailed records of all communications with Mortgage Company A, the title company, your lender, and any other parties involved. Documentation can be useful in case you need to escalate the matter further or provide proof of your efforts to resolve the issue.
Prioritize Actions:
Start with the title company since they are likely to have the quickest route to solving this problem if it’s related to a missed lien release.
Escalate within Mortgage Company A to make sure they are treating this with the urgency it deserves.
Communicate continuously with your home equity lender and explore any short-term financing options as a backup.
By taking these steps, you should be able to speed up the process and ensure that your title is cleared before your contractor expects payment.