A mortgage in a land does not limit the actual owner to sell the land to anyone, since it follows the land not the person and it would have the same legal effect over the land after it has been sold, this is if the mortgage has been duly publicized as required by law. The bank or the lending institution does not have a say in any of this, of course it will all be different if they are holding the title from the beginning, as they use to.
Regards,
Alfredo Guzman, Esq.