[] (“Servicer”)

[] (“Borrower”)

[] (“Property”)

[Debt evidenced by Note] (“Loan”)


[Servicer Name] (“Servicer,” “us,” or “we”) and Borrower (“you”) agree as follows:

  1. Execution of DIL. Within 30 days after the date of this Deed-in-Lieu Agreement (“Agreement”), Borrower will sign a Deed in Lieu of Foreclosure (“DIL”) provided by Metrolina Legal Group PLLC, transferring title to the Property to the owner of the Loan (the “Lender”), along with such other documents as may be required by Servicer, including those typically signed in connection with a DIL in the area where the Property is located. Even after you have signed the DIL, it will not be effective until it is accepted by the Lender.
  2. Title. Clear and marketable title to the Property must be transferred. Each subordinate lien holder must release you from personal liability for the loans secured by their liens on the Property in order for you to qualify for this program, but we do not take any responsibility for ensuring that the lien holders do not seek to enforce personal liability against you. Therefore, we recommend that you take steps to satisfy yourself that the subordinate lien holders release you from personal liability.
  3. Property Condition and Vacancy. Unless you have been approved for and signed a lease with respect to the Property, you and all other occupants must vacate the Property by_____________[DATE]. You must leave the house in broom-clean condition, free of interior and exterior trash, debris or damage, and all personal belongings must be removed from the Property. The yard must be clean and neat and you must deliver all the keys and controls (e.g., garage door openers) to us.
  4. Property Maintenance and Expenses. Until the DIL is accepted by the Lender, you are responsible for all property maintenance and expenses for your Property, including utilities, assessments, association dues, and costs for interior and exterior maintenance. Additionally, you must report any and all property damage to us and file a hazard insurance claim for covered damage.
  5. Foreclosure Sale Suspension. We may initiate or continue the foreclosure process as permitted by the Loan documents and applicable law; however, the foreclosure sale date will be suspended until the transfer of title of your Property has been completed, provided you continue to abide by the terms and conditions of this Agreement.
  6. Termination of this Agreement. We may terminate this Agreement at any time if:
    1. You fail to act in good faith in connection with the Agreement.
    2. A significant change occurs to the Property condition or value.
    3. There is evidence of fraud or misrepresentation.
    4. You file for bankruptcy and the Bankruptcy Court declines to approve the Agreement.
    5. Litigation is initiated or threatened that could affect title to the Property or interfere with a valid transfer of clear and marketable title to the Property.
  7. Settlement of a Debt. The proposed transaction represents an attempt to reach a settlement of the Loan. You are choosing to enter into this Agreement even though there is no guarantee that the transaction will be successful. In the event this transaction is unsuccessful, we may exercise our remedies under the Loan documents, including foreclosure.
  8. Possible Income Tax Considerations. The difference between the remaining amount of principal you owe and the current market value of the Property must be reported to the Internal Revenue Service (IRS) on Form 1099-C as debt forgiveness. In some cases, debt forgiveness could be taxed as income. The amount you receive under this Agreement for relocation expenses may also be reported as income. You should contact the IRS or your tax preparer to determine if you may have any tax liability related to this transaction.
  9. Credit Bureau Reporting. We will follow standard industry practice and report to the major credit reporting agencies that yourLoan was settled for less than the full payment. We have no control over, or responsibility for the impact of this report on your credit score. To learn more about the potential impact of a deed-in-lieu of foreclosure on your credit, you may want to go tohttp://www.ftc.gov/bcp/edu/pubs/consumer/credit/cre24.shtm.
  10. Loan Charges. We will charge the Borrower fees for services performed in connection with Borrower’s default, for the purpose of protecting the Servicer’s interest in the Property and rights under the Security Instrument, including, but not limited to, attorneys’ fees, property inspection and valuation fees. The charges will be reasonable.

By signing this Agreement, you are agreeing to a deed-in-lieu of foreclosure. If you have any questions about the deed-in-lieu of foreclosure, please call us before signing and returning this Agreement.


Borrower Acknowledgement of Risks, Conditions and Contingencies. In signing and returning this DIL Agreement, I/we agree to all the terms and conditions stated above.

Borrower Signature


Renee Pry

If you have questions, please contact us directly between the hours of 8:00 am and 6:00 pm at

Signature of Servicer


Sally Wooten