Deed In Lieu Of Foreclosure


Definition of "Deed in lieu of foreclosure"

Legal document that conveys real estate to the lender after the borrower defaults on his or her mortgage payments. The borrower should demand cancellation of the unpaid balance and a confirmation letterform the lender. The lender is relieved of the inconvenience of foreclosure proceedings actions. It is a voluntary act by both borrower and lender.

Have a question or comment? We're here to help.

 
 
 
*** Your email address will remain confidential.
 
 

Search Real Estate Terms

 

Popular Real Estate Terms

Short Sale

An agreement between a mortgage borrower in distress and the lender that allows the borrower to sell the house and remit the proceeds to the lender. ...

Deed In Lieu Of Foreclosure

Deeding the property over to the lender as an alternative to having the lender foreclose on the property. ...

Payment Problems

When a borrower has difficulty making the scheduled payment. Position of the Lender: A good place to start is by understanding the position of the l ...

Combination Windows

Window having both screens and storm windows that can be easily interchanged according to seasonal needs. ...

Mesne

In between, intermediate, intervening; passing an interest from a principal to a second party and then to a third party. ...

Strip Development

Construction of commercial property in a manner that enables each lessee or tenant to have access to the main strip or thoroughfare running through th ...

Popular Real Estate FAQ

What Is Escrow?

Escrow is a trust account created by a neutral third party to hold money for the seller or buyer. When you put down a deposit on a house, for example, ...

What Is An Assessed Value?

The public tax assessor value of a property as determined for the purpose of taxation. ...

What Is Zoning?

Zoning is the laws that establish how a property can be used and what codes must be followed when erecting new buildings. ...

What Is A Treasury Index?

A treasury index is an index used to determine interest-rate changes for certain adjustable-rate mortgages (ARMs). This index is based on the results ...

What Is An Origination Fee?

An origination fee is a fee paid to a lender for processing a loan application. ...

What Is A Loan Origination Fee?

A loan origination fee is a fee charged by the lender-usually 1 percent of the loan amount. ...

Read why Real Estate Agent rates 5 Stars in 10 Agent Reviews
Read Reviews

Agents join here
Add real estate terms app
on your Website

Real Estate Advice

Spring Landscaping Ideas to Improve Curb Appeal and Sell Your House DIY Home Improvement to Increase Your Home Value Moving Tips: House Relocation Stress Free Increase Your Home Value With These Home Improvement Ideas Down Payment: Everything You Wanted to Know

FAQ

What is accession? What is a mortgage broker? What is a lifetime rate cap? What is homeowners insurance? What is a proration?