An Arizona deed of trust is a property conveyance instrument whereby a trustee holds on to a property title while a borrower repays a loan from a lender. While this document functions similarly to a mortgage, there are some distinct differences. For example, the deed of trust requires three (3) parties; lender, borrower, and trustee, while a mortgage requires only the lender and borrower.
Should the borrower default on the loan, the lender may foreclose on the property without any judicial proceedings (so long as a “notice of sale” is recorded first).
Related Forms (1)
Arizona Promissory Note – Outlines repayment terms between a lender and a borrower.