In circumstances where a homeowner is unable to make the mortgage payments or to find a buyer for the house, some mortgage lenders may accept ownership of the property instead of the money owed on the mortgage
A deed in which you transfer ownership of your property to your lender instead of (in lieu of) your lender continuing with the foreclosure.
A process whereby the owner, with the approval of the lender, deeds the property to the lender to avoid foreclosure.
Process of borrower-property owner surrendering title to property to prevent lender foreclosure.
A deed in lieu of foreclosure is a conveyance of title to real estate. As can be gleaned from the title, the conveyance is executed in lieu of having the mortgage foreclose on the property. The sole consideration on the mortgagee's part is the agreement not to foreclose on the property. This allows the mortgagor to maintain a clean credit record.
A document conveying title from a borrower to a lender, in order to avoid credit-damaging foreclosure proceedings.
The delivery of an asset's title to the lender when the loan is in default. The approach may benefit both parties by avoiding the expenses associated with foreclosure and the stigma of foreclosure. CAUTION. For tax purposes, the transaction is the same as a sale.
A deed given by the debtor to his or her creditor to avoid foreclosure.
Instead of waiting until the lender forces the sale of a house in the foreclosure process, the borrower deeds the property to the lender.
Deed used by a borrower surrendering title to his/her property to prevent lender foreclosure.
A deed given by an owner/borrower to a lender to prevent the lender from bringing foreclosure proceedings.
Legal document conveying property to the lender after the borrower defaults on his/her mortgage payment.
"Short for ""deed in lieu of foreclosure,"" this conveys title to the lender when the borrower is in default and wants to avoid foreclosure. The lender may or may not cease foreclosure activities if a borrower asks to provide a deed-in-lieu. Regardless of whether the lender accepts the deed-in-lieu, the avoidance and non-repayment of debt will most likely show on a credit history. What a deed-in-lieu may prevent is having the documents preparatory to a foreclosure being recorded and become a matter of public record."
A deed given by an owner/borrower to a lender to satisfy a mortgage debt and avoid foreclosure. See also " Foreclosure".
A legal instrument in which a borrower conveys property to a lender under a mortgage to save the expense of foreclosure. See also quit-claim deed.
Deed given by a mortgage borrower to the lender for satisfaction of the debt and to avoid foreclosure.
Voluntarily signing over to the creditor the property pledged as collateral on a defaulted loan.
A deed given by a mortgagor to the mortgagee to satisfy a debt and avoid foreclosure. Also called a "voluntary conveyance."
Rather than waiting for the lender to force the sale of the property, the borrower just deeds the property to the lender.
The opportunity for a person who is facing foreclosure to turn over title to the home to the lender to avoid an actual foreclosure. In some cases, this may be done to save a person's credit, and to keep the situation from becoming a matter of public record.
A deed to real property accepted by a lender from a defaulting borrower to avoid the necessity of foreclosure proceedings by the lender.
A transfer of title to real property from a delinquent mortgagor to the mortgagee, given to satisfy the balance due on the defaulted loan.
Conveyance of title in default to avoid a record of foreclosure. Also called friendly foreclosure.
The deed purchased by the beneficiary from the trustor in lieu of the foreclosure of the deed of trust. The trustor grants the title to the property secured by the deed of trust to the beneficiary (lender) in lieu of lender foreclosing the deed of trust.
A deed for a debtor to a lender conveying title to real property given by the debtor as collateral to secure a mortgage or deed of trust for the benefit of the lender, on which obligation the debtor is in default. The deed is given in consideration of the lender's cancellation of the debtor's obligation in lieu of statutory or judicial foreclosure proceedings.
When a homeowner can't make the mortgage payments and can't find a buyer for the house, the lender may accept ownership of the property in place of the money owed on the mortgage.
A deed given by the mortgagor to the mortgagee when the mortgagor is in default under the terms of the mortgage. This is a way for the mortgagor to avoid foreclosure.
Voluntarily signing over to a lender the property pledged as collateral on a defaulted loan. It is an alternative to a foreclosure action. Its main disadvantage to a lender is that the deed does not wipe out junior liens, as a foreclosure action would.
A Deed in lieu of foreclosure is a deed instrument in which a mortgagor (i.e., the borrower) conveys all interest in a real property to the mortgagee (i.e., the lender) to satisfy a loan that is in default and avoid foreclosure proceedings.