Is North Carolina a deed of trust state?
The following states use Deed of Trusts: Alaska, Arizona, California, District of Columbia, Georgia, Mississippi, Missouri, Nevada, North Carolina, and Virginia.
What is a deed of trust on a property?
A Deed of Trust is a type of secured real-estate transaction that some states use instead of mortgages. In most states, the borrower actually transfers legal title to the trustee, who holds the property in trust for the use and benefit of the borrower. In other states, the trustee merely holds a lien on the property.
Who is the grantor on a deed of trust in NC?
Essentially, the deed of trust is an agreement between three parties: the grantor, the beneficiary, and the trustee. The grantor, or the borrower, grants an interest in their property to the beneficiary, the lender, and the trustee.
Who can serve as trustee on a North Carolina deed of trust?
– The holder, owner, or assignee of the obligation secured by a deed of trust. (2) Trustee. – The trustee or substitute trustee then serving as such under the terms of a deed of trust.
Does a deed of trust show ownership?
A deed conveys ownership; a deed of trust secures a loan.
Who benefits from a deed of trust?
Whether you have a deed of trust or a mortgage, they both serve to assure that a loan is repaid, either to a lender or an individual person. A mortgage only involves two parties – the borrower and the lender. A deed of trust adds an additional party, a trustee, who holds the home’s title until the loan is repaid.
How do you satisfy a deed of trust?
If a title search is completed, it will show the homeowners’ names as stated on the deed but it also shows that a deed of trust is open. The only way to have this removed and the property taken out of control of the trust is to satisfy all of the terms of the loan by paying it off as agreed.
What is credit line deed of trust?
Credit line deed of trust” is a deed of trust securing any obligation arising out of a loan agreement, a promissory note, a sales contract, a performance contract, or any other agreement or writing, under the terms of which the indebtedness or other obligation created may increase and/or decrease from time to time.
Can a beneficiary be a trustee under a deed of trust?
Although the beneficiary and the trustee typically can’t be one and the same entity, and even though the trustee has a duty to act impartially, the trustee does have a fiduciary responsibility to the beneficiary.
Who is the beneficiary in a Deed of Trust?
The Beneficiary of a Deed of Trust is the Lender, and the Deed serves to protect their investment. The Trustor is the borrower. While the legal title on the property is put into a Trust, as long as timely and consistent payments are made, the borrower has equitable title.