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A deed of trust is a security instrument where a borrower pledges real estate as collateral for a loan, ensuring repayment to the lender under a promissory note. In simpler terms, it means that if someone borrows money to purchase a house and fails to repay, the lender can foreclose and reclaim the property. The phrase "if you don't pay, you don't stay" emphasizes that homeowners only retain ownership as long as they make their mortgage payments. It's important to distinguish between a deed of trust and a deed; they are not the same, as a deed represents legal title to the property.
