Paying off a mortgage with the National Workers' Housing Fund Institute (Infonavit) does not automatically transfer full legal title of the property to the borrower. The agency warns that without obtaining a mortgage cancellation letter, the home remains under the institute’s lien, which prevents the owner from having full legal control over their asset.
This process is essential to formalize legal ownership. According to reports from the Infonavit Help Center, as long as the mortgage lien remains active in the Public Property Registry, the owner cannot sell or bequeath the property.
Steps for Legal Release
The first step for users is to log in to the 'Mi Cuenta Infonavit' portal using their Social Security Number (NSS) and password. In the 'Balances and Movements' section, the beneficiary must confirm that their debt status is listed as 'Paid in Full' (Liquidado).
Salaried employees must also generate a suspension notice. This document is required to notify their employer to stop salary deductions intended for loan payments. Independent contractors or those who are not currently employed at the time of final payment are exempt from this step.
Once these requirements are met, the system allows users to generate a 'Mortgage Cancellation Instruction Letter.' To complete this, the user must have a digital copy of the property deed on hand. This document serves as the basis for initiating the lien release process through a public notary or the local Public Property Registry, depending on state regulations.
Infonavit emphasizes that ignoring this process carries significant financial and legal risks. Failing to cancel the mortgage leaves a lien on the property, which lowers its market value and makes it difficult for the owner to secure future credit. Furthermore, delaying this process often leads to higher notary fees and more complex administrative hurdles in the long run.
