Hello, my name is Penny Smith, and I’m a real
estate broker in North Carolina. How to arrange a deed in lieu of a foreclosure is the question
today. A deed…there are many types of deeds, and when a house is foreclosed upon, that
house cannot offer a general warranty deed, which is the most protected deed that you
could get in North Carolina. But they would…but a mortgage company would give a quick claim
deed, which means that the property is quick-claimed, so that no one could put claim to it. Nobody,
such as lien holders or any second liens that someone may have attached to the property.
A quick claim deed is just as safe when it is insured by a title company, and that is
very important. I suggest that no matter what state you buy a house in, no matter what state
that you use, you always have a title insurance company to insure your property and the deed
to that property. That is how I would address a deed in a foreclosure is to make sure I
had an attorney to take care of all the details. Thank you, and I hope you have a great day.