In relation to the mortgage, why would you send a certificate of title to the lender?

• A. To verify the owner's identity to the lender
• B. To confirm the property value
• C. To confirm that the title is marketable and free from onerous issues
• D. To apply for a new mortgage

Answer: (C)

The main idea is to protect the lender’s security by confirming the title can be used as reliable security for the loan. The certificate of title shows who owns the property and any rights, burdens, or restrictions that affect the title. The lender needs to see that the title is marketable—that there aren’t hidden issues like charges, restrictive covenants, or rights of way that could affect value or block a future sale if the borrower defaults. It’s not about proving the owner's identity (that’s done with ID checks) or valuing the property (that comes from a valuation report), and it isn’t about applying for another mortgage. Ensuring a marketable title gives the lender confidence they can recover the loan if needed.