Regarding Real Property Mortgages, which statement is true?

• A. A mortgage transfers title to the lender.
• B. A mortgage always follows the note, and an assignment without the note is void.
• C. An assignment of the mortgage requires that the note be handled separately.
• D. A mortgagee may foreclose and also sue on the note without any restriction.

Answer: (B)

The fundamental idea being tested is how the promissory note and the mortgage relate to each other. The note is the personal instrument that creates the debt, while the mortgage (or deed of trust) is the security interest in the real property that backs that debt. They are tightly linked: the mortgage secures the obligation evidenced by the note, so transferring one without the other affects the ability to enforce.

That’s why the statement about the mortgage following the note and an assignment lacking the note being void is the best answer. If you attempt to transfer only the security interest (the mortgage) without also transferring the debt instrument (the note), the transferee would own a lien but not the right to collect the actual debt. In other words, you need the note to enforce the amount owed; without it, there’s no basis to sue on the debt. The mortgage’s enforceability as a security device is contingent on the debt instrument it secures.

As for the other options: a mortgage does not transfer title to the lender—it creates a lien on the property, not ownership. It’s not accurate that a mortgagee may foreclose and sue on the note without any restriction; there are practical limits and procedural requirements, and many systems require the note (or proof of the debt) to be properly linked to the foreclosure or to the suit on the note. And saying the mortgage must be handled separately contradicts the idea that the mortgage follows the note, which is why that alternative doesn’t fit.