Legal Question in Real Estate Law in Pennsylvania

Re: deed in lieu

The only type that I am aware of is a deed in lieu of mortgage foreclosure. It is deed conveying ownership of the property to avoid a mortgage foreclosure action. The mortgage company would accept the title to the property rather than instituting a legal action in mortgage foreclosure. This would delay payment of the mortgage. Once a deed is conveyed the mortgage holder can sell the property to payoff the debt of the mortgage or make a profit depending if there is any equity. I suggest you consult with an attorney before you sign such a deed to make sure you are fully protected. If I can be of any assistence please let me know. Gerald Hershenson Esq. 215-579-9390