Marcus borrowed $280,000 to purchase a home in Nashville and signed a deed of trust. He has faithfully made all payments and has now paid the loan in full. What document must the trustee provide to return legal title to Marcus?
Correct Answer
A) A deed of reconveyance, transferring legal title back to the trustor
When a deed-of-trust loan is paid in full, the trustee executes a deed of reconveyance (also called a trustee's deed of reconveyance) to return legal title from the trustee back to the trustor (borrower). This is the standard instrument used in Tennessee's deed-of-trust system to clear the lien and restore full ownership to the borrower upon loan satisfaction.
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