Trustee's Deed

A trustee's deed is the legal document used to convey title from the foreclosing trustee to the winning bidder at a First Tuesday auction. Unlike a general warranty deed (which warrants clear title) or a special warranty deed, a trustee's deed conveys only whatever interest the trustee held — with no warranty against defects in the chain of title that existed before the foreclosure. The buyer at auction accepts the property 'as-is' both physically and in terms of title.

Texas Context

In Texas, buyers at First Tuesday trustee sales receive a trustee's deed that conveys title subject to any senior liens. This means investors must research and understand the full lien picture before bidding — including IRS tax liens (which have a 120-day right of redemption), HOA liens, mechanics liens, and junior mortgages. Properties with senior federal tax liens are generally not suitable for courthouse step purchases unless the investor accounts for the IRS redemption risk. Foreclosures Now research tools help investors assess lien priority before auction day.