Legal analysis: it can be lifted. Mortgage loan involves three parties, namely buyers, developers and loan banks. If the buyer and the bank negotiate to terminate the mortgage loan contract due to the developer's breach of contract, the buyer, the bank and the developer are still borrowers, lenders and guarantors. As long as the developer bears the liability for breach of contract, the remaining mortgage payment, the house payment paid by the buyer, the principal of the mortgage loan and the liquidated damages can be paid to the bank and the buyer respectively, and the contract can be terminated.

Legal Basis: Interpretation of the Supreme People's Court on Several Issues Concerning the Application of Law in the Trial of Disputes over Commercial Housing Sales Contracts Article 21 If one party requests to confirm the invalidity of the commercial housing sales contract or to dissolve or terminate the contract, if the secured party files a lawsuit as a third party with independent claim, it shall be tried together with the disputes over the commercial housing secured loan contract; If no lawsuit is filed, only disputes over commercial housing sales contracts will be handled. If the guaranteed party files a separate lawsuit against the contract dispute of commercial housing secured loan, it can be tried together with the dispute of commercial housing sales contract. If the Commodity House Purchase and Sales Contract is confirmed invalid or cancelled or dissolved, and the Commodity House Guaranteed Loan Contract is also dissolved, the seller shall return the principal and interest of the house purchase loan and the purchased house price to the guarantor and the buyer respectively.