Legal Question in Credit and Debt Law in Pennsylvania

Deed in Lieu of Forclosure Due to Hardship

Dealing with my mortgage company and their lawyers approx. 6 mos. ago I applied to them to return the house to them due to my ill health and the earlier death of my spouse. Now they have sent me papers to sign re: Deed In Lieu of Forclosure. The papers have my deceased wife's name and place for her to sign. Also enclosed was ESTOPPEL AFFIDAVIT and PENNSYLVANIA WARRANTY DEED, latter of which to be signed by myself and deceased wife. Does this mean that they are forclosing and my credit will be ruined or that they have agreed to take the house for the payments left due to the mortgage company? They don't explain anything. Could you explain what Deed in Lieu of Forclosure means as I don't trust the mortgage company lawyer. Thank you very much.


Asked on 2/19/01, 11:20 am

2 Answers from Attorneys
Alexander M. Rosenfeld Rosenfeld & Stein, P.A.

Re: Deed in Lieu of Forclosure Due to Hardship

A deed in lieu of foreclosure means that the mtg company will accept the deed to the property as satisfaction of the mtg obligation. The mtg co. will not pursue on the note. Be sure to get a release and return of the original note marked 'paid'.

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Answered on 4/04/01, 9:21 pm
Anthony Comparetto Comparetto Law Firm

Re: Deed in Lieu of Forclosure Due to Hardship

If this property was located in PENNSYLVANIA it will go under the law of such state and you must contact a Pennsylvania attorney. If not re-email me at [email protected]

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Answered on 4/03/01, 5:59 pm


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