Property Ownership

In Mississippi, a 'deed of trust' differs from a 'mortgage' primarily because a deed of trust:

AInvolves only two parties (borrower and lender)
BInvolves three parties (trustor/borrower, beneficiary/lender, and trustee) and allows non-judicial foreclosure✓ Correct
CCannot be used for residential real estate
DDoes not secure a debt

Explanation

A deed of trust involves three parties—trustor (borrower), beneficiary (lender), and trustee (neutral third party). The trustee holds legal title and has the power of sale, enabling non-judicial foreclosure, which is the primary reason Mississippi uses deeds of trust instead of mortgages.

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