With so much paperwork to sign and complicated terminology involved in the transaction at closing, it can be confusing to understand just who signs a trust deed and when. However, holding real estate in a revocable living trust comes with many benefits, including estate tax savings, protection from creditors and avoiding probate. So read on as we explore whether or not you should sign a trust deed when selling your house in Charlotte. Please note that this article is for informational purposes, not financial or legal advice.
What is a Trust Deed
A trust deed is a loan on the property and a form of a promissory note and may be one of the documents involved when selling your house in Charlotte, depending upon current state laws, protecting a lender’s investment. While defaults on traditional mortgages must go through judicial channels, trust deeds go through a process known as non-judicial foreclosure.
Selling with a Deed of Trust
If you have a trust deed and are selling your house in Charlotte for less than you owe, you will need permission from the lender before the sale. While several documents are part of the process, three primary documents are involved when there is a trust deed: the deed of trust itself, the promissory note and the deed.
Who Signs a Deed of Trust
Now that you understand more about the deed of trust, we will break down just who should sign a trust deed when selling your house in Charlotte. There are always three parties involved: the beneficiary or lender, the trustor or borrower and the third-party trustee who holds the legal title; this is often a title company. The third-party trustee is to remain impartial, taking no actions which would benefit the trustor or the beneficiary. The third-party trustee will use the proceeds from the sale to pay off any outstanding portion of the loan, and then any remaining funds go to the borrower. Should the loan be paid entirely before the sale, the third-party trustee will dissolve the trust and transfer legal title to the borrower.
What does all this mean? The bottom line is if you are selling your house in Charlotte, you should never be required to sign a trust deed. Instead, when buying your next home, consider taking advantage of estate planning services that have become more accessible and affordable through various online providers that can ease the burdens of your beneficiaries at such a difficult time.
Talk to the professional buyers at Lanier House Buyers today if you are selling your house in Charlotte and have been wondering about trust deeds. Professional buyers like those at Lanier House Buyers will provide you with the information you need to understand your property’s current market value, detailing the expenses you can expect should you decide to list your property for sale instead of selling directly. Then, when you compare what you could profit from listing vs. our offer, which we want you to agree is fair, you can make an educated decision about what works best for your circumstances.
At Lanier House Buyers, our professional buyers are highly educated, seasoned local investors who have built successful careers in the Charlotte real estate market. At Lanier House Buyers, we’re passionate about helping our neighbors resolve any issues they have with buying or selling their homes. If listing your Charlotte house is best for your situation, the professional buyers at Lanier House Buyers will tell you so. Time is of the essence for many sellers, and if this is the case for you, you can relax knowing that you will have a guaranteed closing date. Most properties’ closings are fast, typically within a week or so. If that’s a bit too fast, speak to one of the professional buyers at Lanier House Buyers about picking the calendar date that works best for your upcoming move. At Lanier House Buyers, we can even arrange to clean your property inside and out; just take what you like and leave the rest to us.
The professional buyers at Lanier House Buyers understand the importance of keeping clear lines of communication, so they stop everything, listen carefully to your questions or concerns, and are happy to provide answers without obligation. You won’t feel ignored during the process because at Lanier House Buyers, we aim to ensure you feel good about the deal long after closing. At Lanier House Buyers, when you make a direct sale, the pros at Lanier House Buyers walk you through the process. The team at Lanier House Buyers provides all the services you need in-house at no expense, including attorneys, title and closing professionals, saving sellers like your time and money. You will pay no out-of-pocket expenses when you sell directly and won’t pay commissions, closing costs or broker fees; our offer is the amount of cash you will receive for your property as-is. If you want to learn more, call Lanier House Buyers at 803-935-9085.