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The property owner signs the note, which is a written promise to repay the borrowed money. A trust deed gives the third-party ?trustee? (usually a title company or real estate broker) legal ownership of the property.
It's fairly simple. The borrower gives the lender a promissory note in exchange for the deed of trust. (The promissory note states the borrower's promise to pay back their debt.) Then, once the borrower pays their debt in full, the trustee relinquishes the deed to them.
The borrower gives the lender a promissory note in exchange for the deed of trust. (The promissory note states the borrower's promise to pay back their debt.) Then, once the borrower pays their debt in full, the trustee relinquishes the deed to them.
An Arizona deed of trust is a property conveyance instrument whereby a trustee holds on to a property title while a borrower repays a loan from a lender. While this document functions similarly to a mortgage, there are some distinct differences.
A deed of trust is a document used in real estate transactions. It represents an agreement between the borrower and a lender to have the property held in trust by a neutral and independent third party until the loan is paid off.
The release or satisfaction of mortgage or release and reconveyance of deed of trust may be executed by a duly appointed attorney-in-fact of the title insurer, but such delegation shall not relieve the title insurer from any liability pursuant to this section.