Updated on September 23, 2025
Do deeds of trust expire in California?
Do deeds of trust expire in California? Many California real estate transactions involve loans—whether a buyer needs financing to complete a purchase or a seller is paying off an old loan. To secure repayment, lenders commonly record a deed of trust, a legal tool that creates a lien on the property. But what happens when the loan is never formally reconveyed or the lender disappears? This is where California’s Marketable Record Title Act (MRTA) plays an important role.
At Schorr Law, APC, our attorneys have extensive experience resolving title disputes, including those involving unreleased deeds of trust. This blog explains what deeds of trust are, how they work, and how they may eventually expire under California law.
What Is a Deed of Trust?
A deed of trust is a security instrument used in California to protect a lender’s interest in a loan secured by real property. Unlike a mortgage, a deed of trust involves three parties:
- The trustor (borrower)
- The trustee (neutral third party, often a title company or bank)
- The beneficiary (usually the lender)
Once the loan is paid off—either through a sale, refinance, or satisfaction of the debt—the deed of trust is typically reconveyed , meaning the trustee formally releases the lien from the property.
What If the Lien Is Never Released?
Sometimes, a loan is paid off but the deed of trust remains recorded on the property. This can occur if:
- The lender fails to record a reconveyance deed
- The lender is no longer operating
- The borrower has no documentation confirming the debt was paid
Unreleased deeds of trust can cloud title and create delays or legal issues during property sales or transfers.
Also Read: What Is A Quiet Title Action Lawsuit in California [GUIDE]
How the MRTA Helps When Deeds of Trust Expire in California
To resolve stale liens, California enacted the Marketable Record Title Act (MRTA), codified in Civil Code section 882.020. This statute limits how long a lien from a deed of trust can remain enforceable:
- If the final maturity date of the debt is specified in the deed of trust, the lien expires 10 years after that date.
- If the maturity date is not specified, the lien expires 60 years from the date of recordation.
This means a lender may lose its right to enforce a lien after the statutory period, and property owners may be able to clear title without a formal reconnaissance or legal action.
In cases where the lien is disputed or not automatically removed under MRTA, a quiet title action may be necessary to clear the title.
Read Related Practice Area: Quiet Title
A Real Example of a Deed of Trust Expiring in California
Let’s say you inherit property from a relative and decide to sell it. During escrow, the title company finds a deed of trust recorded 30 years ago. Upon review, you learn the loan matured 15 years ago.
In this case, the MRTA applies, and you may be able to eliminate the lien without the original lender, allowing you to transfer clear title.
Read Related Blog Post – How to Quiet Title to Old Liens on Real Property
How Schorr Law Can Help
Unreleased deeds of trust and old liens can prevent you from selling or refinancing your property. At Schorr Law, our attorneys are highly skilled in analyzing lien issues and leveraging the Marketable Record Title Act (MRTA) and other legal strategies to help you restore marketable titles.
Whether you are a buyer, seller, heir, or investor, we can help you remove obstacles caused by old deeds of trust and protect your property rights.
Schedule a Consultation
Schorr Law provides complimentary 30-minute consultation for qualified matters. Call us at (310) 954-1877, email us, or simply fill out our contact form.