CHAPTER 7.02. Recording

• Jurisdiction: United States

7.02. Recording

In order to be effective against third parties, a Delaware real estate mortgage must be recorded in the recorder of deeds of the county in which the mortgaged property is located.¹⁶ Although the term "perfection" is not used in Delaware real estate laws with respect to mortgages, the concept of perfection as notice to third parties of the rights of the lienholder and establishing the priorities by "perfection" exists by virtue of this recording. The notice attributed to third parties is limited to the factual information disclosed by the mortgage.¹⁷ In order to be accepted for recording, the mortgage must state at the top of the first page the tax parcel number of the real property secured by the mortgage and the name and address of the person or company that prepared the mortgage.¹⁸ The recording fee at the recorder of deeds office must be paid at the time of recording. The recorder of deeds offices of each of the counties have also imposed specific requirements for the margins, font size, and location on the first page of this required information.¹⁹ Unlike some jurisdictions around the country, no tax based on the amount of the mortgage is assessed at the time of recording the mortgage.²⁰

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Notes:

^[16] 25 Del. C. § 2101(b); Del. Const. art. III, §§ 22 and 23; 9 Del. C. § 9605(a).

^[17] Conly v. Industrial Trust Co., Del. Ch. 29 A.2d 601 (1943).

^[18] 9 Del. C. § 9605(f), (h). See also supra Section 7.01.

^[19] 9 Del. C. § 9605(g).

^[20] 30 Del. C. § 5401(1)(c).