In most jurisdictions where the deed of trust is in force, the borrower is subject to having his property sold without benefit of legal proceedings. A few states have begun in recent years to treat the deed of trust like a mortgage. Title insurance Protects lenders or homeowners against loss of their interest in property due to legal defects in title. Definitions courtesy of U.S. Department of Housing and Urban Development. Terms are defined as they are commonly understood in the mortgage and real estate industry.
Definitions are intentionally general, nontechnical and short.
Before signing any documents or depositing any money preparatory to entering into a real estate contract, the purchaser should consult with an attorney.