Escrow & Title

What is a 'deed of reconveyance' in Nevada?

AA deed used when property is reconveyed to its original owner after an estate sale

BA document executed by the trustee of a deed of trust, released to the borrower upon full payment of the loan, reconveying title held in trust back to the trustor (borrower) — it clears the lender's security interest from the title✓ Correct

CA deed used in Nevada foreclosure sales to transfer property to new owner

DA deed required for converting property from commercial to residential use

Explanation

In Nevada's deed of trust system, when the borrower fully pays off the loan, the lender (beneficiary) instructs the trustee to execute and record a Deed of Reconveyance (also called Full Reconveyance or Trustee's Deed Upon Reconveyance). This releases the deed of trust lien from the property.

People Also Study

Key Terms to Know

Deed of Trust

A security instrument used in many states instead of a mortgage, involving three parties: borrower (trustor), lender (beneficiary), and a neutral trustee.

Deed

A written legal instrument used to transfer ownership of real property from one party (grantor) to another (grantee).

Lien

A financial claim against a property that serves as security for a debt or obligation, giving the creditor the right to foreclose if unpaid.

Chain of Title

The sequential record of all transfers of ownership for a piece of property from the original patent holder to the present owner.