Finance
In Tennessee, the most common instrument used to secure a real estate loan is a:
AMortgage with judicial foreclosure
BDeed of trust with non-judicial foreclosure✓ Correct
CLand contract / contract for deed
DPledge agreement
Explanation
Tennessee is a deed-of-trust state. A deed of trust involves three parties: the borrower (trustor), the lender (beneficiary), and a neutral third-party trustee. Foreclosure is non-judicial (by trustee's sale), making it faster than judicial mortgage foreclosure.
Related Tennessee Finance Questions
- A borrower's debt-to-income ratio (DTI) is calculated as:
- Under Tennessee law, a residential mortgage foreclosure by non-judicial trustee's sale requires the lender to provide notice of the sale to the borrower at least:
- In Tennessee, a 'hard money loan' is typically characterized by:
- In Tennessee, a deed of trust that is not paid off at closing must be:
- A balloon mortgage requires the borrower to:
- The Home Mortgage Disclosure Act (HMDA) requires lenders to:
- The Federal Reserve's primary tool for influencing mortgage interest rates is:
- Private Mortgage Insurance (PMI) is typically required when:
Practice More Tennessee Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Tennessee Quiz →