A Trust Deed is in some ways like a mortgage - it’s “legal document” used to pledge “real property” as collateral to secure a loan.

So - with a “Trust Deed”, a person who would like to borrow money would pledge “title” to their property “in trust” to secure the repayment of the loan. And - like other deeds which transfer title, a “deed” is recorded against their property to show that they have pledged it as collateral for a loan.

Thus, the name “Trust Deed” - it’s a deed placing a property in trust to secure the repayment of a loan.

As a result of today’s tumultuous economic environment, trust deed investing has once again become a strong investment alternative. Trust deeds are a conservative way to invest in real estate and produce a secured monthly income.

Trust deeds also function as a careful way to buffer against low interest rates. This is one reason why more income investors have started to use trust deed investing to boost returns in their savings and retirement accounts.