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Real Estate & Property Law

: The Home Equity Theft Reporter

Requiring Borrower To Escrow Deed In Lieu As Precondition To Getting Mortgage Loan An Illegal Clogging, Says Maryland High Court

By r morris

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In a recent court ruling, the Maryland Court of Appeals, the state's highest court, concluded that:A deed in lieu of foreclosure executed as a precondition to originating a loan, before any default on the loan occurs, is not valid under Maryland law, because it clogs a borrower?s equity of redemption.(1)In reaching this conclusion, the Maryland high court vacated an earlier decision from a

Full post as published by The Home Equity Theft Reporter on February 02, 2011 (boomark / email).

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