A document that gives a lender the right to sell your property if you can't repay your loan

A deed of trust is similar to a mortgage contract except that a deed of trust involves a third party called a trustee, usually a title insurance company, who acts on behalf of the lender. When you sign a deed of trust, you are in effect giving the trustee title (ownership) of the property, but holding on to the right to use and live in it. The lender or trustee holds the original deed of trust until you repay the loan on your home. Unlike a mortgage, a deed of trust also gives the lender the right to foreclose on your property without taking you to court first.

		Deed of trust states
		Alaska	Mississippi	North Carolina
		Arizona	Missouri	Virginia
		California	Nevada	Washington DC

		Mortgage states
		Alabama	Louisiana	North Dakota
		Arkansas	Maine	Ohio
		Connecticut	Massachusetts	Oregon
		Delaware	Michigan	Pennsylvania
		Florida	Minnesota	Rhode Island
		Hawaii	New Hampshire	South Carolina
		Indiana	New Jersey	Vermont
		Kansas	New Mexico	Wisconsin
		Kentucky	New York

		States that use both deeds of trust and mortgages**
		Colorado	Montana	Texas
		Idaho	Nebraska	Utah
		Illinois	Oklahoma	Wyoming
		Iowa	Oregon	Washington
		Maryland	Tennessee	West Virginia
		* Georgia uses a security deed ** Custom dictates which document is used

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