For example: Property worth $160,000 is encumbered by a first deed of trust securing a debt of $40,000 and a second deed of trust securing a debt of $100,000. The debtor has defaulted on payments to the holder of the first deed of trust. If the debtor is interested in giving and the holder of the first deed of trust is interested in taking a deed in lieu, the transaction will make economic sense because the sum of the debts secured by the lien to be extinguished and the lien which will remain is less than the value of the property. Taking a deed in lieu would not make economic sense if, for instance, the debt secured by the second deed of trust were $150,000, or if the property were worth only $130,000.