Assignment of Deed of Trust and Note
(Commercial) (VA)

Summary

This template is for an assignment of deed of trust and may be used to assign and transfer an existing deed of trust on Virginia real property from the current lender to a new lender. This template includes practical guidance and drafting notes. Deed of trust assignments should be recorded in the same place as the deed of trust is recorded, which is in the office of the county clerk in the county where the subject property is located. Virginia deeds of trust and related documents must be recorded pursuant to the requirements of Va. Code Ann. § 55.1-606, Va. Code Ann. § 17.1-227, and applicable provisions of the Virginia Public Records Act, Va. Code Ann. § 42.1-76 et seq. Additional requirements vary by county. Best practice is to contact the recording division of the superior court clerk's office where the real property is located to determine if any additional or more specific requirements exist. For further information on recording requirements in Virginia, see Commercial Real Estate Financing (VA). Promissory notes are negotiable instruments under the Virginia Uniform Commercial Code. See Va. Code Ann. § 8.3A-104. A note should be assigned by indorsement, either to a named assignee or through an indorsement in blank in which the holder of the note is whoever currently holds possession of it. An "allonge" stating "pay to the order of" may be attached to a promissory note to achieve an indorsement. See Va. Code Ann. § 8.3A-204. A separate assignment of the deed of trust should be recorded in the county land records where the deed of trust was recorded. Virginia courts have held that the promise to pay a deed of trust is also a promise to pay a promissory note secured by such deed of trust. See Blanton v. Keneipp, 155 Va. 668, 156 S.E. 413 (1931). For a Virginia allonge template, see Allonge (Commercial) (VA). For more on recording an assignment of deed of trust in Virginia, see Commercial Real Estate Financing (VA). For further information on promissory notes, see Promissory Notes (Acquisition Loan).