On This Page
Current Nevada Law: Subject to Verification
A home equity line of credit is secured by a recorded deed of trust governed primarily by NRS Chapter 107. Whether title requires the line to be closed, frozen, paid off or reconveyed depends on the lender's payoff requirements and title underwriting standards. Lisa is not a lender or title insurer. Verify current requirements with the lender, servicer and title professional.
Think of a Credit Card
Example
Credit limit: $100,000.
Balance: $0.
That does not necessarily mean the account is closed.
A HELOC can create a similar problem because it is also secured by real estate.
Why Title Cares
If the secured line remains open, the closing professionals need to make sure the property can transfer under the required title conditions.
That may require:
- Closing/freezing the line
- Official payoff
- Release/reconveyance
depending on lender/title requirements.
Don't Assume "I Never Used It" Fixes It
A seller might have opened a HELOC fifteen years ago as an emergency reserve and never drawn a dollar.
If the security instrument remains recorded, it can still need attention.
Tell Title Early
Especially if you remember:
"I think we had an equity line with Wells Fargo years ago."
Mention it.
How Lisa Helps
The earlier Lisa and the closing team know about old financing, the less likely it becomes a closing-day surprise.
