A substitute trustee is appointed by a Texas lender to conduct a foreclosure sale after the original trustee becomes unavailable. Under Texas Property Code §51.0015, who has the authority to appoint a substitute trustee?
Correct Answer
C) The holder of the debt secured by the deed of trust may appoint a substitute trustee
Under Texas Property Code §51.0015, the holder of the debt (the current lender or mortgagee) has the authority to appoint a substitute trustee. The appointment must be recorded in the real property records of the county where the property is located.
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In the context of foreclosure, a deed transfers ownership of the foreclosed property to the new owner, typically the buyer at a foreclosure sale.
Discount points are upfront fees paid to a lender at closing to reduce (buy down) the interest rate on a mortgage loan. One point equals 1% of the loan amount and typically reduces the rate by approximately 0.25%.
An FHA loan is a mortgage insured by the Federal Housing Administration that allows lower down payments and credit scores than conventional loans. It is designed to help first-time homebuyers and borrowers with limited resources.
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