Deed of Trust - Draft - Arizona

Deed of Trust - Draft is a legal document that was released by the Arizona Department of Housing - a government authority operating within Arizona.

FAQ

Q: What is a Deed of Trust?A: A Deed of Trust is a legal document that outlines the terms and conditions of a loan secured by real estate.

Q: What is the purpose of a Deed of Trust?A: The purpose of a Deed of Trust is to provide security for a loan, allowing the lender to foreclose on the property if the borrower defaults.

Q: Who are the parties involved in a Deed of Trust?A: The parties involved in a Deed of Trust are the borrower (also known as the trustor), the lender (also known as the beneficiary), and a neutral third party called the trustee.

Q: What is the role of the trustee in a Deed of Trust?A: The role of the trustee in a Deed of Trust is to hold legal title to the property as security for the loan and to initiate foreclosure proceedings if necessary.

Q: How does a Deed of Trust differ from a mortgage?A: In a Deed of Trust, the title to the property is held by a trustee, while in a mortgage, the title is held by the borrower. Additionally, foreclosure in a Deed of Trust is typically a non-judicial process.

Q: What happens if the borrower defaults on a loan secured by a Deed of Trust?A: If the borrower defaults on a loan secured by a Deed of Trust, the lender can initiate foreclosure proceedings and sell the property to recover the outstanding debt.

Q: Are there any specific legal requirements for a Deed of Trust in Arizona?A: Yes, Arizona has specific legal requirements for Deeds of Trust, including the need for a notary public to witness the signing of the document.