A deed of trust includes another party to the transaction called a "trustee" who is neither the lender nor the borrower. In real estate transactions, a trust deed transfers the legal title of a property to a third party until the borrower repays their debt to the lender.Affordability: TOD deeds are generally less expensive than living trusts. A Deed of Trust ensures a borrower is responsible for repaying a loan when a traditional lender isn't involved. Essentially, both state that the borrower will repay the loan. Learn about the benefits of a living trust, how a trust differs from a will, and the steps you'll need to take to set up a living trust in Virginia.