Which document is considered the "IOU" or evidence of debt?

The promissory note is considered the "IOU" or evidence of debt because it is a written promise to pay a specific amount of money at a specified time or upon demand. This document outlines the borrower's commitment to repay the loan under agreed-upon terms, including interest rates and payment schedules. It serves as the primary instrument that formalizes the borrower's obligation to the lender, which is why it’s referred to as an "IOU."

In contrast, a mortgage deed is a legal document that secures the loan by placing a lien on the property, but it does not indicate the borrower's promise to pay. The buyer's agreement typically refers to a contract relating to the purchase of real estate and may involve various stipulations beyond financing. The title deed formally shows ownership of the property, documenting the transfer of ownership but not the debt obligation. Each of these other documents serves distinct roles in the real estate process, but none serves as the direct evidence of debt like the promissory note does.