Finance
In Tennessee, what document evidences the borrower's personal promise to repay a real estate loan?
AThe deed of trust
BThe promissory note✓ Correct
CThe warranty deed
DThe mortgage commitment letter
Explanation
The promissory note is the borrower's personal promise to repay the loan. The deed of trust (or mortgage) is the security instrument that pledges the real property as collateral.
Related Tennessee Finance Questions
- A Tennessee lender who provides a 'non-QM' (non-Qualified Mortgage) loan is offering a loan that:
- Private mortgage insurance (PMI) is canceled automatically on a conventional loan when the loan-to-value ratio reaches:
- In Tennessee, a deed of trust that is not paid off at closing must be:
- Tennessee's first-time homebuyer programs through THDA are designed to help:
- In Tennessee, the most common instrument used to secure a real estate loan is a:
- Under a Tennessee deed of trust, if the borrower defaults, the lender may foreclose through:
- A conforming loan in Tennessee is one that:
- A wraparound mortgage is one in which:
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