Escrow & Title

A Virginia property owner wants to use their property as collateral for a loan. The lender takes a security interest in the real property. This is evidenced by a:

APromissory note only
BDeed of trust or mortgage recorded in the land records✓ Correct
CUCC-1 financing statement
DLease agreement

Explanation

Real property used as loan collateral is secured by a deed of trust (in Virginia) or mortgage recorded in the county/city circuit court land records. The promissory note is the personal obligation to repay; the deed of trust secures it against the property.

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