What is a deed in trust used for?

A deed in trust is specifically used to grant a trustee powers over a parcel of real estate. This legal document allows the trustee to hold the title to the property for the benefit of another party, typically the trustor or beneficiary. The trustee has the authority to manage the property according to the terms set forth in the trust agreement, which may include selling, leasing, and making decisions regarding the property. This setup is commonly used in financial transactions, such as mortgage agreements or estate planning, to ensure that the trustor's intentions are upheld while providing a level of control and oversight over the property.

The other options do not accurately describe the function of a deed in trust. Establishing a direct sale of property refers to a different type of deed, typically a quitclaim or warranty deed, rather than a deed in trust. Facilitating the transfer of ownership without restrictions implies straightforward ownership transfer which is contrary to the conditional nature inherent in a trust. Publicly recording ownership changes is a function of the recording system used by government entities, not a direct purpose of a deed in trust, which focuses on the management and control of the property rather than declaring ownership in public records.