What type of document shows the transfer of an interest in real property in a transaction involving a new deed of trust?

In a transaction involving a new deed of trust, the appropriate document that demonstrates the transfer of an interest in real property is the deed of trust. This legal instrument essentially secures a loan by creating a lien against the real estate, thereby granting the lender a security interest in the property.

When a deed of trust is executed, it involves three parties: the borrower (trustor), the lender (beneficiary), and a third party (trustee) who holds the title until the loan is repaid. This arrangement allows the borrower to use the property while it acts as collateral for the loan. If the borrower defaults, the trustee has the authority to initiate a foreclosure process to recover the outstanding loan.

While the other documents mentioned—such as a deed of conveyance, a promissory note, and a mortgage agreement—have their specific roles in real estate financing, they do not specifically illustrate the transfer of an interest in the property itself in the same manner as a deed of trust does within the context of securing a loan. A deed of conveyance would more commonly pertain to outright ownership transfer, a promissory note is a borrower's promise to repay the loan, and a mortgage agreement typically outlines the terms of the loan and the