Introduction

Today there are a number of ways in which investors can invest their money. From the stock market to savings bonds to deeds of trust, there is something for every investor looking for a way to grow their money. While most investments are made with the same end in mind, the main difference between each investment type are the strategies and the level or risk involved.

However, although there is always some degree of risk involved when making an investment, trust deeds happen to be one of the safest investments available today, because unlike other investments, a trust deed is secured by actual property homes, buildings and land.

Aside from the security of real property, with a trust deed investment, the other advantage is the investor receives higher than average rates of return. This is due to the fact that borrowers are willing to pay a higher interest rate because private investors are flexible with their loans, as they are not limited by traditional rules of bank loans. Without the constraints of such rules, private investors can provide quicker loans that do not follow the same rules as is required for traditional lending.

Furthermore, deeds of trust are safe investments because borrowers are generally a good risk to take. The following are two excellent reasons why:

1. The borrower could loose their property (home, land, etc.) if they fail to pay the loan.
2. If the appropriate research has been done, the investment will have a more than sufficient loan to value (LTV) ratio. In other words, the loan amount is exceeded by the real property value.

Why do I want to get involved with trust deed investing?
At some point in your life you will retire, and like many other investors out there, you may be thinking about investing as part of your retirement plan. Trust deed investors who invest for their retirement agree that it is the best investment they can make, because a trust deed can earn 10%, which is as much as 5 times more retirement income compared to other investing methods such as a savings account which on average pays between 2-4%. Furthermore, investing in trust deeds for your retirement is safer than running the risk of being stuck in a low yielding mutual fund, or a bad stock.

Another reason to consider is trust deed investors that plan for their upcoming retirement (whether it is IRA, KEOGH, etc.), know that by compounding an annual 10% interest through trust deed investments, they have the chance to take years off the necessary time required to reach the target date they have personally set for their retirement.

Need further proof why trust deed investing is the better way when it comes to making an investment for your retirement plan? Take a look at the following examples:

Retirement plan without a trust deed investment
Mary places 0.00 in her IRA at 2.5% compounded annually. After 20 years, the 0.00 would become 9.31, paying approximately a .00 annual retirement income to Mary at 2.5% (Note: This is calculated by using any handheld calculator. Begin by taking the percentage, in this case 1.025 1.025: 1 = the single deposit of 0.00 and .025 = the 2.5% annual yield. and multiply this number by 0.00. Tap the equal button 20 times in order to compound the 20 years.)

With a Trust Deed Investment
James places 0.00 in a 1 year trust deed investment that pays 10% compounded annually. After 20 years, the 0.00 would become 63.75 paying approximately a 0.00 annual retirement income to James at 10%. (Note: this is calculated by using the same method as the previous example, except that the 10% is calculated as 1.1 1.1: 1 = the single deposit of 0.00 and .1 = the 10% annual yield.

By comparing the above two examples, Jamess trust deed investment provided him with approximately 15 times more retirement income! Now thats a difference worthy of your attention.

In addition, there are a number of other bonuses related to trust deed investing that you may want to keep in mind before choosing just any type of investment. Here are a few of the basic advantages that investing in trust deeds offers you as an investor:

1. The interest rate paid by the borrower is typically higher than rates paid by banks.

2. Investing in a deed of trust generates a monthly income that is established through interest payments.

3. Trust deeds can be traded

4. Trust deeds sell fairly easy because they are liquid

5. When you invest in a trust deed, every month that goes by increases your protection because the loan amount continues to be lowered by amortization.

The more you learn about trust deeds, the more you will discover that this investment offers you a high rate of return at a risk you can afford.

The purpose of this book Trust Deed Investing- is to provide you with the fundamentals of trust deed investments. Within its pages you will discover all of the essential aspects that are required in order to make investing in a deed of trust a secure and safe risk taking experience. Some of the topics you will find include the different methods for investing, loan underwriting, title insurance, lien priority, escrow and much more.

This book has been designed to give you a good idea of the many golden opportunities that await you should you choose to invest in deeds of trust. With all of the knowledge you will obtain from Trust Deed Investing, you will gain the confidence you need to know how to protect your investment, choose the right broker and provide an excellent product with the least amount of risk.

California Trust Deed Procedure

This is a fact you wont want to forget should a tax lien appear.

Once you have completed all of the necessary instructions and requirements for escrow, and it begins to take its normal course, you are now ready to close escrow which is often referred to as close of escrow, closing or settlement. This includes all legal costs, fees and expenses that you had to endure while processing the foreclosure, as well as those costs linked to having to take action in responding to the bankruptcy petition. A trust deed investor always needs a title insurance policy. Chapter 14 - Frequently Asked Questions Since you are new to mortgage investing, you may have questions in regards to what it is, what it can do for you, and if mortgage investing is really worth it in the long run.

Once prepared, the officer will have all beneficiaries involved sign the DOD, NOB, SOT and the Non-military Affidavit with the attached notarization.
Know your borrowers financial status and their credit worthiness. 5% compounded annually. Under the beneficiarys instructions, the foreclosure officer will prepare the above documents. In addition, the agent will request a written statement regarding the default amount, the date up to which the interest is paid, the due date of the payment, and the unpaid principal balance. Non-judicial Foreclosure V This process is usually simple and fast, and is the one that is commonly used for trust deed investments.

Are their Precautions I should take?
1 = the 10% annual yield. When beginning the non-judicial foreclosure process, there are certain documents that the investor will be required to give the foreclosing officer. Thus, from a lenders perspective, while providing a loan may seem like a sensible transaction, due to the fact that its classified as subprime, it requires private money lending. This means that the buyer pays a one-time only premium for the lenders benefit on the day the policy is issued.