Which of the following is the correct definition of a "trustee's deed"?

A trustee's deed is a specific type of legal document used in the context of real estate transactions, particularly during foreclosure proceedings. When a property is foreclosed upon, typically, the lender (or a trustee acting on behalf of the lender) will sell the property at a public auction. The trustee's deed is the instrument that officially conveys ownership of the property from the trustee to the new owner, who may be the highest bidder at the foreclosure auction or the lender if the property does not sell.

This deed is significant because it signifies the conclusion of the foreclosure process and legally transfers the title of the property to the purchaser. It serves as proof of ownership, ensuring that the new owner has the right to assume possession of the property free of the previous owner's interests.

The other options refer to different types of deeds or transactions. For example, a deed for transferring property to a relative or a deed issued after a mortgage is paid off does not involve the context of foreclosure. Similarly, a deed for a lease agreement does not convey ownership but merely grants the right to use the property based on lease terms. Thus, option C is the correct choice because it highlights the specific circumstances under which a trustee's deed is issued.