When a borrower faces financial distress, a deed in lieu allows it a voluntary path to transfer ownership of the property in question back to the lender. Though this can help avoid the lengthy and expensive traditional foreclosure process, both borrowers and lenders should be aware of potential cons depending on the circumstances of the situation before proposing or agreeing to the arrangement.
In this episode, Ron Gart and Mitchell Kaplan join Dan Evans and Jay Wardlaw to discuss the basics of a deed in lieu in addition to benefits and pitfalls for both parties involved.
