What is a Deed of Trust?
by John Gill Send Feedback to John Gill Don’t assume that the laws around one More Details about Don’t assume that the laws around one here. Translate to Spanish Translate to French Translate to German Translate to Italian Translate to Portuguese Feature Articles: 7 Simple Steps to Freedom – Getting Your Home… Forex Strength Trading – Unique Tools For A U… Weightlifting Coach Shares Tax Lien Investing… Update to Tax Lien Investing Book Review: New… Investing in Tax Liens From Afar… Cut Expenses: 6 Ways to Cut Homeowner Insura… Preforeclosure Investing Secrets Revealed… Foreclosures and Shortsales: Constructing a K… Click here for more >> If you live in Alaska, Arizona, California, Colorado, Georgia, Idaho, Illinois, Mississippi, Missouri, Montana, North Carolina, Texas, Virginia, or West Virginia you probably don’t have a mortgage, even if the bank, your friends and common chatter call it one. It’s more probable that you own your home through a Deed of Trust: something
Basically, so long as you make your monthly payments on a timely basis, you should have nothing to worry about. But once you are in default (a term which is defined in both the note and the trust) then many of the provisions of that deed of trust become operative — such as the right of the lender to ultimately foreclose on your property. Deed types: • Quitclaim Deed • Quick Claim Deed • Warranty Deed It should also be noted that you cannot deduct any mortgage interest for tax purposes unless your property is secured by a deed of trust. That means that the deed of trust must be recorded in land records. The deed of trust helps to verify and protect your legal interest in a property. Contact a Real Estate Lawyer for a further explanation on what is a deed of trust. Content Related to Topic • Trust Deed Investments: What You Should Know In a deed of trust, the borrower (trustor) transfers the Property, in trust, to an independent third party (trustee) who holds conditional title on behal
Deeds of trust are not really “deeds” to property, as that term is commonly used, they are documents purporting to create a security interest in the property, usually for a lender. In Texas, when there is a lender seeking to create a security interest in the property, the property is conveyed “in trust” to a trustee of the deed of trust, which maintains a right to non-judicially foreclose the interest if allowed for in the conveyance documents.
