Deed of Trust

A Deed of Trust is a legal document used in real estate transactions that involves three parties: the borrower (trustor), the lender (beneficiary), and a neutral third party (trustee). It secures a loan by giving the trustee the right to hold the property's title until the borrower repays the loan. If the borrower defaults, the trustee can sell the property to repay the lender. This arrangement provides a way to manage property ownership and ensure loan repayment without going through lengthy court foreclosure processes.