Escrow & Title

A Mississippi closing produces a 'deed of trust' rather than a 'mortgage.' The key difference is that a deed of trust involves:

ATwo parties: borrower and lender
BThree parties: borrower (trustor), a neutral trustee, and the lender (beneficiary)✓ Correct
CThe state government as a trustee
DOnly the title company

Explanation

A deed of trust involves three parties: the borrower (trustor) who conveys title to a neutral trustee (often a title company), who holds it for the benefit of the lender (beneficiary). Mississippi uses deeds of trust, which allow non-judicial foreclosure by the trustee upon default.

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