How to remove all color from selected text (resulting in transparent text) perfectly?

Question

I want an image with some text, such that the background color of the image is white, while the text should transparent.

The twist here is that the font I am using does not satisfy my needs, and I have to apply "transform" (using Ctrl+T) after I write using the "Horizontal Type Mask Tool" and to sort of spread the text horizontally (so that the letters become a bit less condensed).

What I tried:

1. I created a new file with white background
2. Wrote the text on it using the Horizontal Type Mask Tool
3. Added a color to it (because without this when I try to apply the Transform, it complains that the selected area is empty) using the Paint Bucket tool
4. Applied the Transform.
5. The text was still selected. So pressing Del deleted everything from the selected text.

But when I deselected it, the result was very ugly. There is an ugly black border sort of a thing around the text.

I have also tried using the Background Eraser Tool but that doesn't do it perfectly either. So I conclude my approach for getting what I want was not good. So my question is that what is the best way to do this?

Answer 1

1. Create a text layer with your text.
2. Create a white-filled layer
3. Command/Ctrl-click the text layer thumbnail in the Layers Panel
4. Highlight the white layer and click the New Mask icon at the bottom of the Layers Panel.
5. Invert the layer mask (Image > Adjustments > Invert)
6. Turn off visibility for the text layer.

You can then unlink the mask with its layer and freely transform the mask if needed.

_{(White looks grey due to the reduced color palette of the animation.)}