After a Deed of Trust Foreclosure sale, which of the following is TRUE?

In the context of a Deed of Trust Foreclosure sale, the statement that a trustee's deed is given to the new owner is accurate. When a property is sold at a foreclosure auction due to a default on the loan secured by the deed of trust, the trustee conducts the sale and conveys the property to the highest bidder through a trustee's deed. This deed serves as the official document that transfers ownership of the property from the trustor (the borrower) to the new owner (the winning bidder at the auction).

The use of a trustee's deed is critical because it provides legal proof of the ownership transfer and protects the new owner's rights to the property. This process is distinct from the other options provided, which do not accurately describe what occurs during or after a foreclosure sale. For example, a deed of reconveyance would typically occur when a loan is paid off, rather than in a foreclosure scenario, and marking the note or returning the trust deed does not apply in this context. Therefore, the issuance of a trustee's deed to the new owner post-foreclosure effectively completes the transfer of property ownership as mandated by the foreclosure process.