Are Deed-in-Lieu (DIL) transactions reported to Consumer Reporting Agencies and the IRS as foreclosures?

No, the Mortgagee must not report Deed-in-Lieu (DIL) transactions to consumer reporting agencies as foreclosures.
Additional questions may be directed to the HUD National Servicing Center at (877) 622-8525.

For policy information see Handbook 4000.1 III.A.2.l.iii.(J) at


All policy information contained in this knowledge base article is based upon the referenced HUD policy document. Any lending or insuring decisions should adhere to the specific information contained in that underlying policy document.

Topic Number: KA-05280