Banking & Collections

Estoppel Letter

Greg Stone Greg Stone
How To Use

This review list is provided to inform you about this document in question and assist you in its preparation. An estoppel letter is to determine payoff amounts at a closing or sale of a property. Both private and public lenders provide these as a matter of course. These can also be used for corporate banking situations when acquirers and/or lenders take out old loans.

If you are in a such lending situation, this document formalizes the process and will assist the escrow agent, attorneys, or whomever else is handling the transaction to handle it appropriately and deliver you your funds.

  1. Make multiple copies. Give a copy to each related party. Keep one with the transaction file.

Estoppel Letter

TO: _________________________
_____________________________
_____________________________
_____________________________

REGARDING: __________________________________

Property located at: __________________________________________________________

The balance due upon this mortgage as of ________________ is $____________ (_________________________________________________________ & _____/100 dollars). The per diem is $___________ (________________________________________________________ & _____/100 dollars). The mortgage was last paid on _________________.

The figures in this estoppel are effective until _________________.

Funds should be wired to: ________________________________ Name of Account, ____________________________ Bank, _____________________ ABA #, _____________________ Account Number.

Fax a copy of your wire instructions to:

_____________________________
_____________________________
_____________________________
Attention: __________________

______________________
Date

For:

____________________________
Owner

By:

____________________________
Lender

As:

____________________________