What is a deed of trust?

A deed of trust is a legal document used in North Carolina that outlines the terms of a loan agreement between a borrower and lender. The deed of trust is recorded in the public records and grants the lender security in the form of the borrower’s real estate. With a deed of trust, the lender can foreclose on the property if the borrower fails to make payments. A deed of trust typically includes the description of the property that is being used as collateral. It also outlines the terms of the loan, including the interest rate, payment amount, and due date. The deed of trust also includes the identity of the trustee, which is the third-party responsible for handling the foreclosure process. When all of the terms of the deed of trust are met, the document serves as proof of ownership of the property. In North Carolina, the deed of trust is recorded in the public records and can be accessed by potential buyers and lenders. The recordation of the deed of trust is an important part of the loan process. The deed of trust is a crucial document in North Carolina property law. It serves to protect the lender’s interest in the property and outlines the terms of the loan. Having a deed of trust on file in the public records also serves to protect prospective buyers and lenders who may be interested in the property in the future.

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What is a deed of trust?

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