Wholesaler · Buckeye, AZ · Member since 2017 · 92 posts · 2 votes
my problem is the wording when it comes to varies terms such as mortgage, deed of trust, bonds in finance, i don't know how these words are used on a contract during a real estate transaction my guess is they are used during the drafting of new contractual agreements where you have pens at some table and multiple indivisuals signing there names at a specified area of the contract, and the words may also be used as contingency personally i would like to speak with a real estate attorney about this issue but i am operating on very limited knowledge
Real Estate Agent · Garden City, NY · Member since 2016 · 3k+ posts · 1k+ votes
7y
@Kenneth Wiley
Mortgage and deed of trust are different things. Some of it depends on what’s the norm in the state you’re in, but any state could have one or the other on a transaction.
A mortgage is essentially a promissory note that secures performance to pay in exchange for property.
A deed of trust is similar, but a third part as a trustee files the paper to hold a deed with the lender as the beneficiary if the borrower stops paying and goes into default.
A mortgage bond is exactly as described. Mortgages are packaged together and turned into a security that can be bought or sold by investors. The average person never has to worry about the mortgage bond.