In in the , a deed of trust or trust deed is a wherein in is transferred to a , which holds it as security for a loan () between a borrower and lender. The remains with the borrower. The borrower is referred to as the trustor, while the lender is referred to as the beneficiary.
Holding property in a trust is a way of holding title of a property. Other ways of holding title include Sole Ownership, Tenants in Common, Joint Tenancy with rights of Survivorship, Community Property, and Living Trust.
A Land Trust is a specific method of holding title:
The purpose of a land trust is to allow one to have the legal title to his property held by another person, or trustee, while retaining all of the rights and privileges of property ownership (the beneficial interest). The trustee acts only upon the beneficiaries direction. The property owner still retains all rights, such as the right to possession, to collect rent, mortgage the property, homestead exemption, and any other benefit he now has.
A deed of trust is a lien on real property, and is not an ownership interest. Holding property in a trust is one of many forms of ownership interest. These are quite different legal instruments. Interestingly maybe, a deed of trust is a trust. It has three parties same as the title holding trust you reference. All trusts have a trustor, trustee and beneficiary, three parties, but sometimes go by different names depending on the type of trust.