Escrow & Title
In Oklahoma, a 'deed in lieu of foreclosure' is an arrangement where:
AThe lender files a substitute deed instead of a foreclosure action
BThe borrower voluntarily conveys title to the lender to avoid the foreclosure process, potentially avoiding deficiency judgments and preserving their credit better than foreclosure✓ Correct
CThe court approves a substitute deed for a minor defect
DA third party buys the foreclosure deed directly
Explanation
In a deed in lieu of foreclosure, the borrower voluntarily transfers the property to the lender to satisfy the debt. It avoids the formal foreclosure process, which can be faster and less expensive for both parties. The lender typically agrees to release the borrower from further personal liability.
Related Oklahoma Escrow & Title Questions
- When an Oklahoma buyer receives the deed at closing but does not record it for 6 months, what is the risk?
- The priority of liens against a property is generally determined by:
- In Oklahoma, the recording of a deed in the county where the property is located:
- Oklahoma's 'race-notice' recording system means that to be fully protected as a bona fide purchaser, one must:
- The Closing Disclosure required by TRID must be provided to the buyer at least how many business days before closing?
- Which of the following creates a general lien against ALL real and personal property of the debtor in Oklahoma?
- Recording a deed in Oklahoma's county clerk's office provides:
- A buyer's walk-through inspection before closing in Oklahoma is conducted to:
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