What is the best term for the borrower utilizing a trust deed?

In the context of a trust deed, the best term for the borrower is "trustor." The trustor is the individual or entity that borrows money from a lender and transfers the property title into a trust as security for the loan. This arrangement allows the trustor to retain the right to use the property while also providing the lender with a secured interest.

The terminology surrounding trust deeds is important to understand. The trustor is the party that creates the trust and grants the rights to the trustee to hold title to the property on behalf of the beneficiary, typically the lender. This relationship clearly distinguishes the roles of the parties involved in the transaction, establishing the trustor as the borrower who is responsible for repaying the loan.

In contrast, the other terms have specific roles that do not encompass the position of the borrower in a trust deed scenario. The beneficiary refers to the lender who benefits from the trust arrangement, the trustee is the neutral third party that holds the legal title to the property until the debt is paid off, and the mortgagor is a term associated more specifically with traditional mortgage agreements rather than trust deeds. Understanding these definitions clarifies why "trustor" is the most appropriate term for the borrower in this situation.