Beneficiary

Within the context of home foreclosures, the beneficiary is usually the lender involved with the property. In other words, it's the person who owns the mortgage loan that has been defaulted on by the homeowner / borrower.

You normally only hear of a beneficiary in a trust deed type of mortgage loan. The beneficiary in this type of loan will typically have a trust created on their behalf, since the debt is owed to them.

Definitions from Around the Web

Beneficiary - "A person entitled to receive money or assets from a trust or an estate. A lender is a beneficiary with a deed of trust or a note as a security for a loan." -Source: www.foreclosureuniversity.com
Beneficiary - "one who receives profit from an estate, the title of which is vested in a trustee; (3) lender on a security of a note and deed of trust." -Source: www.foreclosures.com

Want to learn more of the lingo associated with the foreclosure process? Check out our glossary of terms.