Legal Question in Real Estate Law in Massachusetts

Re: Usage of an All inclusive Trust Deed

Your question seems to mix up two concepts.

First, a real-estate transaction is recorded by presenting the documents to the county recorder (or similar functionary) who makes a copy, usually photostatic, and indexes the same by the name(s) of the principal parties, so that there is a permanent public record of the transaction. Deeds, mortgages, marriages, etc. get recorded.

If there is an executed trust deed that meets the other requirements for recording, such as being notarized, etc., it can probably be recorded in Massachusetts and then would become notice to the public of the things recited therein.

However, the question of the legal usefulness and enforceability of a trust deed in Mass. is another matter.

Massachusetts would give full faith and credit to a California trust deed on California property. In other words, a Mass. court would determine Calif. law and apply it in enforcing a trustee's sale based upon a Calif. non-judicial foreclosure.

On the other hand, IF Massachusetts law does not recognize trust deeds, it could be an exercise in futility to use a California-style trust deed to secure a loan on Massachusetts property. Local law probably doesn't provide for non-judicial foreclosure by a trustee, for example. Although I don't practice in Mass. and don't presume to know, I think it very likely that a deed of trust would be very difficult to assert in Mass. court if a lender needed to foreclose.

I recommend learning and following local practice in securing loan transactions, especially loans on real estate. Where mortgages and judicial foreclosures are standard practice, don't try to use a deed of trust.

Use of a California deed of trust in any state other than California is further complicated by the fact that much of the "fine print" does not even appear in the document, but is incorporated by reference to other documents already recorded in each California county.

I hope this answers your question. If in doubt, consult an attorney who practices real-estate law in the state and county where the real estate in question is situated. Not only do practices differ from state to state, they differ between regions within states.