Buy | Trust Deeds
Because the loan is secured by real estate, the investor has a tangible asset to fall back on if payments stop.
It is important to distinguish between and Scottish Trust Deeds : buy trust deeds
The person or entity receiving the loan. Because the loan is secured by real estate,
The person who buys the trust deed and receives the payments. Trust deeds are not as liquid as stocks
Trust deeds are not as liquid as stocks. Your capital is usually tied up for the duration of the loan term. Different Contexts: Scotland vs. USA
Investing in trust deeds, often referred to as "buying trust deeds," is a specialized form of real estate investing where an investor acts as the lender for a property owner. Rather than owning the physical real estate, you hold a lien against the property, which serves as collateral for a loan. Understanding Trust Deed Investing