Which financial document details the terms of a real estate loan, including the interest rate and repayment schedule?

Which financial document details the terms of a real estate loan, including the interest rate and repayment schedule?

• A. Deed of trust
• B. Mortgage note
• C. Title document
• D. Home inspection report

Answer: (B)

The financial document that outlines the terms of a real estate loan, including the interest rate and repayment schedule, is known as a mortgage note. This document serves as the borrower's promise to repay the loan under specified conditions, and it includes crucial details such as the loan amount, interest rate, payment due dates, and the consequences of defaulting on the loan. In contrast, a deed of trust is a security instrument that conveys the property title to a trustee as collateral for the loan but does not detail the loan terms. A title document refers to the legal ownership of the property, proving who holds the title, but it does not contain the financial loan terms. A home inspection report assesses the condition of a property prior to purchase and reveals necessary repairs or maintenance, which is unrelated to the financial terms of a loan.

The financial document that outlines the terms of a real estate loan, including the interest rate and repayment schedule, is known as a mortgage note. This document serves as the borrower's promise to repay the loan under specified conditions, and it includes crucial details such as the loan amount, interest rate, payment due dates, and the consequences of defaulting on the loan.

In contrast, a deed of trust is a security instrument that conveys the property title to a trustee as collateral for the loan but does not detail the loan terms. A title document refers to the legal ownership of the property, proving who holds the title, but it does not contain the financial loan terms. A home inspection report assesses the condition of a property prior to purchase and reveals necessary repairs or maintenance, which is unrelated to the financial terms of a loan.