If a mortgagee on sells a mortgage in a true sale transaction, does that mortgagee retain the right to foreclosure on the mortgagor

In a true sale transaction, when a mortgagee sells a mortgage, the mortgagee typically transfers all rights and obligations associated with that mortgage to the buyer of the mortgage. This means that the buyer (the new mortgagee) generally acquires the right to enforce the mortgage, including the right to foreclose on the mortgagor in the event of default. In this scenario, the original mortgagee would no longer retain the right to foreclose on the mortgagor, as those rights have been assigned to the new mortgagee. The mortgagee would effectively relinquish control over the mortgage upon completion of the true sale. However, it is important to carefully examine the terms of the sale agreement and the associated legal documentation, as the specifics can vary based on the terms of the transaction and applicable state or federal law. Additionally, if there are any representations, warranties, or recourse provisions in the sale agreement, those could impact the original mortgagee’s rights in certain situations.