Hi Sean, Michelle, and everyone. I didn’t see any other posts regarding this so I’m going to ask this question. During our title searches we’ve seen documents such as “reconveyances” and “substitution of trustee and full reconvenyances” that refer to specific instrument numbers (deeds of trusts) in prior years. When we see those documents, is it 100% positive that the trust deed liens that these reconveyance docs are referring to are cleared? The reason is that we’re looking at a trust deed that we bid on that looks like the 1st. However, there are previous liens that have an earlier date than this lien. But, there are matching (by referring trust deed instrument numbers) “substitution of trustee and full reconveyance” documents in the later years that refer to these liens. Hence, which comes to our concern, if the trust deed liens are not 100% cleared by these various reconveyance documents, then we’ll end up liable for these liens since they’re earlier in date (and there is no subordination recorded).
Also, we notice that the “substitution of trustee and full reconveyance” documents are followed up quickly by another deed of trust. We’ve talked this over and we think that these docs “substitution of trustee and full reconveyance” are issued instead of “reconveyance” documents because of a refinance. Is that the case?