What do you mean with Deed in lieu of foreclosure?
Question:
Answer:
That means that you will sign a deed of transfer of title of your property to the trustee (or lender) of your loan instead of the trustee (or lender) foreclosing your property. A foreclosure is very frustrating process and your credit score will be a lot lower due to this process. You will have to wait for a long time(at least a couple of years) before you can purchase another property.
Instead of lender forcing a foreclosure sale you return the property to them. Looks marginally better on your credit and can save you a lot of the costs of a foreclosure and possibly the deficency balance if there is one if the agreement is worded right.
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