FINA382-010

A deed given as security for the loan against real estate is known as a. a trust deed. b. illegal consideration. c. usury. d. hypothecated.

A

One of the main differences between a regular mortgage and a deed of trust is a. the number of parties. b. rights of possession. c. recording. d. ownership.

A

The beneficiary's right, upon default, to take physical possession and collect income generated by the property is called a. assignment of rents. b. reconveyance. c. power of sale. d. the trustee has the right, not the beneficiary.

A

The borrower under a deed of trust arrangement is called the a. trustor. b. beneficiary. c. trustee. d. holder in due course.

A

The borrower under a deed of trust is called the a. trustor. b. beneficiary. c. trustee. d. grantor.

A

When a loan is secured by deed of trust, the promissory note is held by the a. beneficiary. b. trustor. c. trustee. d. grantee.

A

When a property is financed by means of a deed of trust, to whom are the payments made? a. Beneficiary b. Trustor c. Trustee d. Grantee

A

Who is the trustor in a deed of trust? a. Borrower b. Lender c. Grantor d. Vendor

A

Under a deed of trust on real property, the trustee is a. the owner of record of the property covered by the deed of trust. b. empowered to foreclose, upon notice of default, by a trustee's sale of the property. c. the equitable owner of the property. d. the holder of the grant deed.

B

When a person signs a note with no guarantee to the person receiving it, he is said to be signing it a. with recourse. b. without recourse. c. in blank. d. jointly and severally.

B

When default is declared on a loan secured by deed of trust, which of the following is true? a. The trustee must sell the property at a private sale. b. The successful bidder at the trustee's sale receives a trustee's deed at the time of sale. c. The defaulting borrower has a one year period of redemption after the trustee's sale. d. After a year, the successful bidder at the trustee's sale receives a trustee's deed.

B

A borrower defaults on a deed of trust loan. Before the lender can foreclose, the lender must a. offer to modify the loan terms to allow the borrower to catch up. b. appoint a trustee if the deed of trust is of the automatic trustee form. c. notify the borrower, trustee and all interested parties of the default. d. advertise the sale several weeks in advance and perform the sale himself, on the site of the property securing the loan.

C

A deed for reconveyance would be signed by the a. beneficiary. b. trustor. c. trustee. d. grantee.

C

A deed of trust conveys naked title to the a. beneficiary. b. trustor. c. trustee. d. escrow officer.

C

A trust deed can be used for all of the following EXCEPT a. transfer of title. b. hypothecate property. c. secure a note. d. secure a mortgage.

D

A trustor's relationship to a beneficiary is most nearly the same as a a. grantor to a grantee. b. beneficiary to a trustee. c. buyer to a seller. d. mortgagor to a mortgagee.

D

After a trustee's sale has been held and the property goes to the highest bidder, in most states the original trustor has a. 21 days to pay off the loan balance. b. 90 days equity of redemption. c. one year to redeem the property. d. no recourse.

D

A neutral third party would be found in a. a regular mortgage. b. an equitable mortgage. c. a deed of trust. d. a land sale contract.

C

A newly recorded trust deed a. conveys the entire estate to the grantee. b. always allows a deficiency judgement. c. establishes a voluntary lien. d. conveys title superior to a quitclaim deed.

C

One of the major differences between a regular mortgage and a deed of trust is a. a mortgage hypothecates personal property. b. a deed of trust must be recorded. c. the redemption period allowed. d. there is no difference.

C

The trustee of a deed of trust a. may be the beneficiary. b. may bid at the foreclosure sale. c. has naked title. d. always knows of his appointment.

C

Under a deed of trust, reconveyance is issued by the a. beneficiary. b. trustor. c. trustee. d. borrower.

C

Upon payment of the debt secured by a deed of trust, the a. trustor issues a deed for reconveyance. b. grant deed is issued to the trustee. c. trustee issues a release deed for reconveyance. d. trustor now has equitable title.

C

Who must sign the reconveyance of a deed of trust? a. Beneficiary b. Trustor c. Trustee d. Grantee

C

The instrument which conveys naked title to a trustee is the a. notice of default. b. reconveyance deed. c. guardian's deed. d. trust deed.

D

When a debt secured by a deed of trust is paid off, naked legal title reverts to the borrower from the a. mortgagee. b. trustor. c. beneficiary. d. trustee.

D

With regard to a deed of trust, the trustee a. can be the beneficiary. b. receives recorded title. c. receives equitable title. d. receives naked title.

D