Promissory Notes — part of Real Estate Finance. Study the key terms below, then mark this lesson complete to advance your progress.
Trust Deed (Deed of Trust): California security instrument — borrower gives deed to trustee to hold as collateral for lender.
Promissory Note: Borrower's written promise to repay a specific amount under defined terms.
Carryback / Seller Finance: Seller acts as lender — takes monthly payments directly from buyer instead of cash.
Balloon Payment: Large lump-sum payment due at end of loan term — common in seller-financed deals.
Deed: Written instrument that transfers ownership of real property from grantor to grantee.
NTS (Notice of Trustee's Sale): Second notice — property will be auctioned at least 21 days after this is recorded.