Can I transfer ownership of my home to avoid foreclosure?

Yes, you can transfer ownership of your home to avoid foreclosure in Massachusetts. This process is called a deed in lieu of foreclosure. When you give the title to your home to your lender, your lender agrees to forgive the mortgage debt. This is a good option if you are unable to refinance your loan or you cannot make your mortgage payments. The deed in lieu of foreclosure process in Massachusetts typically requires that you provide the lender with a quitclaim deed and a hardship letter. The quitclaim deed transfers the title of your home to your lender and the hardship letter explains why you are unable to make your mortgage payments and why you need to transfer ownership of your home. Your lender must agree to the deed in lieu of foreclosure before it is effective. Most lenders will agree to a deed in lieu if they are under the threat of foreclosure and it is in their best interest to do so. Before you transfer ownership of your home to your lender, you should make sure that you understand the consequences of this action. In most cases, transferring title to your lender will result in your debt being forgiven and you no longer being responsible for your mortgage payments. However, you will still be responsible for any unpaid taxes and liens on the property. Additionally, your lender may report the debt forgiveness to the IRS, and you may be required to pay taxes on the forgiven debt.

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Can I transfer ownership of my home to avoid foreclosure?

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