What is an assignment of deed of trust?
A deed of trust is the modern-day mortgage. The deed gives your mortgage lender a security interest in your home. Mortgage lenders often sell mortgage loans to other lenders, and when they do that, they also assign their rights in the deed of trust to the new lender.ProcessYou get a mortgage loan from Money Bank, for example. Money Bank requests that you sign a deed of trust, which you do. Three months later, Money Bank sells your mortgage to Investor Bank, at which time Money Bank assigns the deed of trust to Investor Bank.FunctionThe purpose of the assignment of deed of trust is to give the new lender the same security interest in your property as the original lender held.Time FrameYour mortgage loan and deed of trust can be assigned at any time after you close on the loan. In fact, it is likely that your mortgage and deed of trust will be assigned several times during the life of the loan.SignificanceAs a homeowner, you should not care at all if the mortgage loan and deed of trust a