Skip to content
Private Lending & Conventional Mortgage Advice

User Stats

1
Posts
0
Votes
Drew Brown
0
Votes |
1
Posts

Seeking information and/or direction

Drew Brown
Posted May 4 2023, 18:39

I need a document to secure a loan I made to a property owner, granting me a security interest in the property and establishing the terms of the agreement. I don't want to trigger transfer tax with a deed or mortgage, but a security agreement only applies to personal property or fixtures. What type of document should I use, along with the promissory note, in Michigan?

User Stats

589
Posts
382
Votes
Randy Rodenhouse
Pro Member
  • Investor
  • Charleston, SC
382
Votes |
589
Posts
Randy Rodenhouse
Pro Member
  • Investor
  • Charleston, SC
Replied May 6 2023, 10:45

I would say a mortgage/deed of trust.  Why makes you say that a mortgage will trigger a transfer tax?  Yes a deed would but a mortgage is just a security instrument.  Please clarify.