Escrow & Title

A 'deed in lieu of foreclosure' in Wyoming is an arrangement where:

AThe lender agrees to reduce the mortgage balance
BThe borrower voluntarily transfers the deed to the lender to avoid foreclosure proceedings✓ Correct
CThe property is sold at public auction
DA trustee holds the deed until the loan is repaid

Explanation

A deed in lieu of foreclosure allows a defaulting borrower to transfer title to the lender voluntarily, avoiding the time and expense of foreclosure proceedings. The lender may agree to this arrangement, particularly when the property value is less than the loan balance.

Related Wyoming Escrow & Title Questions

Practice More Wyoming Real Estate Questions

1,500+ questions covering all exam topics. Start free — no signup required.

Take the Free Wyoming Quiz →