Forced Deed in Lieu of Foreclosure
Foreclosure Lawyers Serving Florida Since 1972
Typically, a 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.
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 online or call (855) 532-8365 for a free case review with a forced deed in lieu
attorney in Florida today.
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?
It is called a forced deed in lieu because it is not a negotiated process.
In a deed in lieu, there are many requirements, 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.