Confused on Deed of Trust issue
If I executed a Promissory note for $350k and concurrently a Deed of Trust that secures 3 properties up to $350k and if this is the total obligation owed to a lender, can the lender still hold a previously executed Deed of Trust of $100k for additional security?
1. The promissory note for the $100k DOT has been satisfied and returned to me
2. The DOTs are Future Advance and Obligations DOTS
3. The new Promissory note references the old DOT as security
4. The new DOT does not mention the property as security
5. The values of the 3 properties listed on the new DOT, according to the lenders appraisals, equal $350k.
In other words, Should the lender, if it intended on using this additional property as security, have just eliminated the old 100k DOT and additionally placed that property on the new DOT?