Texas is a Title Theory State.
What is Title Theory?
Title theory states that banks or mortgage lenders hold the title of a property until it is paid in full. Once the loan is paid then the title is released to the buyer giving full title to the purchaser.
California is a Lien Theory State.
What is Lien Theory?
Lien theory states that banks or mortgage lenders never retain title to the property. The lien is extinguished once paid off.