Deed-in-lieu in New York

A deed-in-lieu means voluntarily transferring the property back to the lender instead of forcing the case all the way through foreclosure. It can be a cleaner exit than auction, but it is not always available.

Lenders often want the title clean and the property listed or otherwise tested first, because they need to believe taking the deed really is the best remaining route.

It is usually most relevant when keeping the home is not realistic and a normal sale path is either unavailable or unlikely to close in time.