Escrow & Title
In Michigan, a deed of trust differs from a mortgage primarily because:
AMichigan does not recognize deeds of trust
BA deed of trust uses three parties (trustor, trustee, beneficiary) while a mortgage uses two (mortgagor and mortgagee)✓ Correct
CA deed of trust cannot be foreclosed
DA deed of trust does not secure a promissory note
Explanation
A deed of trust conveys the property to a neutral trustee to hold as security for the lender (beneficiary). Michigan primarily uses mortgages (two-party instruments), though deed of trust arrangements do exist.
Related Michigan Escrow & Title Questions
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