Mortgage Help   Mortgage Rates Real Estate Credit Foreclosure Tax
	Escrow & Title Escrow Protected after escrow? Condominiums as rentals? Common Ways To Hold Title Direct deeding is useful Escrow is open Comparing escrow fees Learn about contingencies Prepare for Escrow closing Prorations it pertains to rent Real estate taxes pro-rated Real property vs. personal property Real Estate Mathematics The hidden cost of closing Utility bills and escrow escrow agents have to report? Walk Through Inspection   Title 1031 reverse exchange 1031- Avoid capital gains tax ALTA Policy CLTA Policy Community property tates Creating a trust Clouds on a title Do condos need title insurance? Deed Deed of Reconveyance Dealing with boundary disputes Easements Exceptions in title insurance How much is title insurance? Lis Pendens Mortgages vs. deeds of trust Not married? Joint tenants? Proposed zoning change Preliminary Title Report Quitclaim deeds Statement of Opinion Title Insurance Title insurance and builders Your closing date-Who chooses? Why you should have title insurance Who pays for what Fees in Escrow Mortgages vs. deeds of trust Mortgages and deeds of trust are both instruments that a lender uses in order to protect their interests. When you sign a promissory note and you are borrowing from a lender they are automatically at risk now, and they need some kind of security that you will pay them the specified amount of money back as scheduled. Mortgages and deeds of trust will help them to make certain of it. The laws of your state will dictate which method you will use. Some states will require this to be a mortgage while others will need a deed of trust. It is in title theory states that you will have to use a mortgage and this will convey ownership to the lender. Your mortgage will have a clause that say the property will become yours only once the full amount of the loan has been paid. It is a little different in lien theory states. In these states the borrower will get to keep the title of the property and a lien is placed on the property. This lien will be lifted once you have paid the loan off in full. In yet other states there is a modified version of the lien theory. In these you will keep the title as the borrower but if you default on your payments then the lender can take it away from you. There are not many differences between the lenders method of using the mortgage as security or the deed of trust. One of the only differences is the number of parties involved in the entire process. In the deed of trust there are actually three different parties, there is the lender, the borrower and the trustee. In this case the trustee will hold onto the title instead of the lender or the borrower. This protects both parties and the title will be given back to the borrower only after they have paid the balance of the loan. The trustee can be a bank, escrow company or title company. When the loan has been paid off completely then the trustee will order a release deed and the deed will revert back into the hands of the borrower. This release deed or deed of reconveyance should be taken down to the county recorder's office right away. There it will be copied and public notice will be made that the entirety of the loan has been paid. Foreclosure is done differently with mortgages and deeds of trust as well. Again the way that these proceedings will happen will be largely decided by the state in which you live. It is a general fact that deeds of trust foreclosures will go through much faster than a mortgage foreclosure simply because of the way they have to travel through the courts.