New Blog 1: Assignment Of Deed Of Trust

Sunday 9 December 2012

Assignment Of Deed Of Trust

An assignment of deed of trust and grant deed sound rather similar. They both are related to property, and they both get filed in the same place. That pretty much takes care of the similarities, however, as the two documents are completely different. One transfers debt between lenders, the other transfers outright ownership to a home buyer. For the assignment of deed of trust, think lender, lender, lender. Loans are often bought and sold by lenders. When a new lender buys your home loan, the deed of trust securing the loan will be transferred to the new lender. This is called assignment of the deed of trust. The terms of the loan and the amount of money you owe do not change. When property is secured by a deed of trust, the trustee holds the title, not the borrower. When the mortgage is paid off, however, the title has to be given to the homeowner. This is done by a release of the deed of trust. This differs from an assignment of the deed of trust, because the homeowner now holds the title, and the trustee is not involved anymore.