Finance
Iowa's deed in lieu of foreclosure allows a defaulting borrower to:
APay off the mortgage in installments after default
BVoluntarily transfer title to the lender to satisfy the mortgage debt and avoid formal foreclosure proceedings✓ Correct
CClaim adverse possession of the property
DConvert the mortgage to a land contract
Explanation
A deed in lieu of foreclosure is a voluntary arrangement in which the defaulting borrower conveys title directly to the lender in exchange for release from mortgage obligation. The lender avoids the time and expense of foreclosure; the borrower avoids a foreclosure on their credit.
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