Forced Deed in Lieu
Speak with a St. Petersburg Foreclosure Attorney
Deed in Lieu of
foreclosure is a consensual transaction. In other words, it is a process and result
that is agreed to by the lender. As discussed under the Deed in Lieu section
of our website, the process can be challenging and unfortunately is unsuccessful
more times than not. Therefore, while it should be considered, homeowners
should familiarize themselves with all of the options at their disposal,
including a “forced” deed in lieu of foreclosure.
With LeavenLaw, you benefit from decades of collective experience and the
attention of a client-oriented legal team. We work to secure the best
outcome on your behalf and can help you explore all options that may be
available to you.
Contact us today to learn more about your case!
Definition of Forced Deed in Lieu of Foreclosure
The term “forced” deed in lieu of foreclosure, or FDIL, is
a bit of a misnomer. Essentially, the forced deed in lieu is a product
of creative advocacy born out of tough fact patterns brought by numerous
homeowners considering bankruptcy. The deed in lieu is considered “forced”
not because we have any new-found law that requires the lender to take
the deed instead of filing a foreclosure lawsuit. No, in fact, the lender
can reject the deed and choose to file suit. We cannot guarantee that
the deed in lieu will be accepted.
Why is it called "Forced" Deed in Lieu?
First, we do not ask for permission. It is not a negotiated process where
we jump through the hoops typically required, i.e., hardship letter, listed
for 90 days, exhausted financial resources, etc... Instead, we draft a
Special Warranty Deed in Lieu of foreclosure, sign it in the presence
of two witnesses, notarize it and record it in the clerk of Court in the
County where the real estate is located. We then send the original, recorded
deed to the first lien holder under a cover letter explaining why accepting
this deed is in everyone’s best interest, lender included.
Contact a Florida foreclosure defense attorney
for more information on a forced deed in lieu.