Deed in Lieu of Foreclosure By Kasey Swain / August 15, 2025 A legal arrangement/agreement where a borrower transfers ownership of a mortgaged property to a lender to fulfill a loan agreement and avoid foreclosure. Resources relating to Deed in Lieu of Foreclosure: Why You Should Consider a Deed in Lieu of Foreclosure What is a Deed in Lieu of Foreclosure? A Deed in Lieu of Foreclosure (“DIL”) is a deed instrument where the borrower in a loan transaction conveys its interest in … Read article Related Articles: Private Lending Glossary