Private Money Lending

A Trust Deed investment is a loan, with real estate as collateral to protect you, the private lender. A borrower applies for a real estate loan with a loan originator, such as a mortgage lender or mortgage broker. The borrower promises to repay the loan amount plus interest, by making payments according to the terms of a note. The lender secures the promise to pay by using a trust deed, with the real estate as collateral. If the borrower does not make the loan payments as agreed, the lender may foreclose on the real estate to recover all overdue payments, late fees and the balance due on the loan.