Trust Deed Vs Mortgages

Question 1

All promissory notes are typically accompanied by

Answer 1

A Security Instrument

Question 2

what are the security Instruments

Answer 2

there are 2 types
1. Trust of Deeds ( or Deed of Trust)
2. Mortgages

Question 3

What are the two main types of Security Instruments used in Real Estate transactions

Answer 3

1. Trust Deed ( or Deed of Trust)
2. Mortgages

Question 4

what is a Trust Deed or Deed of Trust

Answer 4

Instruments placing specific financial interest in title to real property into hands of disinterested 3rd party as security for a payment of note

Question 5

In a Trust Deed the borrower is called the

Answer 5

Trustor

Question 6

In a Trust Deed the lender is called the

Answer 6

Beneficiary

Question 7

what is the beneficiary

Answer 7

the person who retains note and deed of trust

Question 8

In a Deed of trust the Trustee is the

Answer 8

company/service that if you don’t pay as agreed, they will conduct a trustee sale

Question 9

what type of foreclosures do trust deeds use

Answer 9

they use non judicial foreclosures

Question 10

what does non judicial foreclosure mean

Answer 10

you don’t have to go to court to foreclose the home

Question 11

who are mortgages signed by

Answer 11

by the borrower creating a voluntary lien on the property for the security of payment of the debt, evidenced by the promissory note

Question 12

why is it hard to foreclose on a person with a mortgage

Answer 12

because mortgages are judicial foreclosures

Question 13

In a Mortgage the borrower is called the

Answer 13

Mortgagor

Question 14

In a mortgage the Lender is called the

Answer 14

Mortgagee

Question 15

what does the mortgagee do

Answer 15

holds security interest in a property — usually in the form of a lien — in exchange for loaning money to the homebuyer.

Question 16

When a borrower defaults on a mortgage, the lender may commence a

Answer 16

Judicial Foreclosure action