DTS

Deeds of Trust

A deed of trust or trust deed is a lien that creates a power of sale by the Trustee. Numerous requirements must be satisfied to insure a deed of trust or mortgage or a foreclosure of that lien.

Exception

DTSX01 ALTA

Deed of Trust - Describes Note and Loan Number

Deed of Trust to secure an indebtedness in the amount shown below, and any other obligations secured thereby:
Amount: $_________
Dated: __________
Trustor: __________
Trustee: __________
Beneficiary: __________
Recorded: __________
Address: (optional) 
Loan No. (optional) 
Comment: This exception describes the secured note. The Company prefers not to describe the note if possible.

See Underwriting Manual

DTSX02 ALTA

Deed of Trust - Describes Note

Deed of Trust from ____________ to ____________ for the benefit of ____________ recorded ____________, securing a note in the original principal sum of $___________ and other obligations described therein.
Comment: This exception describes the secured note. The Company prefers not to describe the note if possible.

See Underwriting Manual

DTSX03 ALTA

Deed of Trust - Does Not Describe Note

Deed of Trust from ____________ to ____________ for the benefit of ____________ recorded ____________, securing the indebtedness and other obligations described therein.
Comment: This exception does not describe the secured note. The Company prefers not to describe the note if possible.

See Underwriting Manual

DTSX04 ALTA

Assignment

The Deed of Trust recorded __________ was assigned to ___________ by instrument recorded __________.
Comment: This exception describes a complete assignment of the lien and note. Do not use if only a participation interest or collateral assignment is filed.

DTSX05 ALTA

Assignment of Beneficial Interest

The beneficial interest under the Deed of Trust recorded ___________ was assigned to _____________ by instrument recorded ______________.
Comment: This exception describes a complete assignment of the lien and note. Do not use if only a participation interest or collateral assignment is filed.

DTSX06 ALTA

Assignor is Not the Holder

The purported assignment executed by ______________ to ________________ and recorded __________________ of the Deed of Trust recorded ____________ was executed by a person that was not the record holder of the beneficial interest.
Comment: Do not rely upon an assignment (e.g., for release or foreclosure) if not satisfied as to the ownership of debt of record.

DTSX07 ALTA

Collateral Assignment

The beneficial interest of _________________ under the Deed of Trust recorded _____________ was assigned to ________________ as collateral security by instrument recorded ______________.
Comment: If a loan is collaterally assigned, secure releases and assignments from both the collateral assignee and collateral assignor. Do not insure a collateral assignment unless you secure the Company’s approval.

DTSX08 ALTA

Modification

The Deed of Trust recorded __________________ was modified by instrument recorded _________________.
Comment: Use this exception to describe a modification of a mortgage. If insuring a modification, determine that it does not create a novation or prejudice subordinate liens and interests. Otherwise, except to the priority of those matters. If the lender gets additional interest or better terms, add a creditor’s rights exception.

See Underwriting Manual

DTSX09 ALTA

Subordination

Deed of Trust recorded _______________ was subordinated to ____________________ as provided by instrument recorded ____________.
Comment: When insuring that a lien is subordinate, do not rely on blanket, future, or general subordinations. Require a specific corporate resolution from savings associations and banks that subordinate (unless a refinance on single family residence).

See Underwriting Manual

DTSX10 ALTA

Doubtful Priority

No insurance is given as to the priority existing between the Deed of Trust recorded ___________ and the Deed of Trust (or Deeds of Trust) recorded concurrently therewith.
Comment: Add this exception if the priority of concurrent Deeds of Trust is not established in the Deeds of Trust or separate subordination agreements.

See Underwriting Manual

DTSX11 ALTA

Subordination to Concurrent Deeds of Trust

The Deed of Trust recorded _____________ recites that it is subordinate to the Deed of Trust recorded concurrently therewith.
Comment: Use this additional exception if the Deed of Trust recites that it is subordinate to a concurrent Deed of Trust. When insuring that a lien is subordinate, do not rely on blanket, future, or general subordinations. Require a specific corporate resolution from savings associations and banks that subordinate (unless a refinance on single family residence).

See Underwriting Manual

DTSX12 ALTA

Notice of Default

Notice of default under the terms of the Deed of Trust recorded ___________________ by the alleged owner and holder of the note secured thereby recorded ____________________.
Comment: If a notice of default of an unreleased deed of trust has been recorded, the Company recommends reference to that notice for information to the parties.

DTSX13 ALTA

Trustee Substitution

A substitution recorded ________________ of _________________ as trustee under the Deed of Trust recorded ___________.
Comment: If a trustee substitution has occurred, the Company recommends that you refer to the substitution.

See Underwriting Manual

DTSX14 ALTA

Notice of Trustee's Sale

A Notice of Trustee’s Sale recorded ________________ executed pursuant to the Deed of Trust recorded _______________.
Comment: If a notice of sale is filed, make reference to the notice after excepting to the deed of trust.

DTSX15 ALTA

Additional Advance

An additional advance secured by the Deed of Trust recorded _________________, as disclosed by the instrument recorded _________________.
Comment: Do not insure a mortgage if it secures an additional advance reflected by subsequent instrument unless you except to intervening matters (including mechanics’ liens) that may have priority.

See Underwriting Manual

DTSX16 ALTA

Subordinate Matters

Matters that affect the Title but that are subordinate to the lien of the Insured Mortgage.
Comment: Use this exception in Schedule B of the Loan Policy if there are subordinate matters (e.g., liens or leases) and if you do not show those matters in Schedule B or Schedule B Part II.

See Underwriting Manual

DTSX17 ALTA

Redemption

Rights of redemption in any owner, lienholder, or other party in interest for ____________ days from the foreclosure sale of the Land dated ____________ and recorded ____________.
Comment: Except to rights of redemption applicable under state law after foreclosure.

DTSX18 ALTA

U.S. Redemption

Rights of redemption in the United States for one year from the foreclosure sale of the Land dated ____________ and recorded ____________.
Comment: In addition to federal tax liens creating U.S. redemption rights, a subordinate lien to the U.S. (e.g., by lien to SBA) may create redemption rights for one year after a nonjudicial foreclosure.