Property Ownership

Under Oregon law, what is a 'deed in lieu of foreclosure'?

AA deed transferring property from the original builder to the first buyer
BA voluntary deed from the borrower to the lender to avoid foreclosure proceedings✓ Correct
CA deed issued by the court when a property is condemned
DA deed used to convey tax-foreclosed properties at a county auction

Explanation

A deed in lieu of foreclosure is a voluntary agreement where a defaulting borrower conveys the property directly to the lender to avoid the foreclosure process. It may benefit both parties — the borrower avoids foreclosure on their record and the lender avoids the cost and delay of formal foreclosure.

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