You know it is sort of interesting as I was writing this article another Realtor contacted me and stated that her clients just received a letter from Bank of America, offering them a Deed-in-Lieu as an alternative to foreclosure or Short Sale. In Maryland, Deed-in-Lieu’s are especially advantageous due to our laws regarding deficiency judgements.

Many lenders are increasingly offering homeowners this option.  Interestingly enough, lenders are being proactive in offering homeowners this option.

So with this being said are we seeing a philosophical change to how lenders are viewing distressed homeowners?  A deed-in-lieu has many benefits over both Short Sale and Foreclosure.  With a Deed-in-lieu lenders typically forgive homeowners of any deficiencies and the process can typically be completed within 90 days.  The downside to a deed-in-lieu is that it will be recorded as a Foreclosure on ones credit.

If you have more questions about Short Sales, Deed-in-Lieu’s or other foreclosure alternatives give me a call today at 301-343-7671.