Finance
A deed of trust differs from a mortgage primarily because it:
ARequires the borrower to pay a higher interest rate
BInvolves three parties: borrower, lender, and a trustee who holds title✓ Correct
CIs only available for commercial properties
DDoes not secure the loan against the real property
Explanation
A deed of trust involves three parties: the borrower (trustor), the lender (beneficiary), and a neutral third party (trustee) who holds title until the loan is repaid. A mortgage involves only two parties.
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