Finish flag in the Deed of Trust effortlessly

Aug 6th, 2022
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How to Finish flag in the Deed of Trust

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- Hey everyone, my name is Paul Vojchehoske and welcome to the Real Estate Classroom YouTube channel. Before we get started, please do me a favor. Give this video a thumbs up, hit that red subscribe button and click on the notification bell. In todays video were gonna discuss whats called a deed of trust, or sometimes called a trust deed, depending on what part of the country youre operating in. Now, I did a previous video on, excuse me, the promissory note and a mortgage. A promissory note, the mortgage, and a deed of trust all kinda go hand in hand together. So if you have not watched that video yet, I highly recommend that you go watch that video first, then come back to this one. That will make this video make so much more sense. And Im gonna put a link right up here in the upper right hand corner of your screen to that video. So thats my recommendation. All right, so are you ready? Lets talk about deeds of trust in this video. (upbeat music) So what is a deed of trust? Wel

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A trust deed remains on your credit file for six years, a timescale that exceeds the term of most trust deeds which are generally completed in three or four years.
At the end of your Trust Deed term, any unsecured debt that you werent able to repay during your Trust Deed will be written off. You will now be free to enjoy life after debt.
NOTICE OF PENDING ACTION: This is also known as a lis pendens. RED FLAG: This is a big red flag. This means that someone has a lawsuit pending that may affect the title to the property. These are often found in acrimonious divorce situations.
At the end of your Trust Deed term, any unsecured debt that you werent able to repay during your Trust Deed will be written off. You will now be free to enjoy life after debt.
Once you have successfully completed your Trust Deed it will still show on your credit reference agency files for another two years, which may make it more difficult to obtain credit, although not impossible.
An instrument that transfers legal title in real property to a trustee to hold as security for a loan made by a lender to a borrower. The borrower retains equitable title to the real property.
Lenders will always check your credit file to establish the risks involved in lending. As an IVA or Trust Deed remains on your file for six years, unfortunately many financial institutions will be reluctant to lend during this time.
Use credit to your advantage Credit can be used to boost your credit score once the Trust Deed term is complete. If you dont have any lines of credit in the long-term, it can have a detrimental effect on your credit rating.

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