The Basics of First Trust Deed Investing

Imagine an investment that paid above market returns while offering the security of a real estate secured loan. A first trust deed investment is just such a financial vehicle. With first trust deed investments, private investors take the place of traditional lending institutions and reap the outsized rewards.

First trust deed investing offers three compelling reasons for the savvy private investor to invest.

Superior Returns

Since there is no middle man who also needs to make a profit, first trust deed investments offer yields in the 8% – 12 % range. Trust deed investments come in a range of amounts, payment terms and maturities. Accredited investors are encouraged to investigate the one that meets their financial risk tolerance and goals.

Secured Investment

All first trust deed investments are secured by an actual real estate property. In fact, the investor has the primary lien on the property and can never be removed form this position. in the event of default, the primary investor is paid first, in full, to the exclusion of any other creditors or lien holders. in addition, all of the legal niceties and particulars are also followed in a first trust deed investment. Appraisals, title searches, escrows and all other legal requirements must be fulfilled before the deal is consummated.


There are dozens of third party private lenders who specialize in bringing qualified lenders and borrowers together. The vet the people and the deals and can bring considerable resources to bear to make any deal happen.

For more detailed information on First trust Deed Investing, please visit our article,

A Detailed Discussion of First Trust Deed investing