Foreclosure Timeline

The Foreclosure Timeline has been updated due to Federal Regulations!  CLICK HERE to see the new Utah Foreclosure Timeline!

 

When talking about foreclosure their are 2 types of foreclosures you will need to know about.

1. Judicial foreclosures.

2. Non-Judicial foreclosures.

98% or more of the mortgages in the state of Utah are non-judicial foreclosures because the loans were originated using a trust deed and note.

  1. Default occurs at 30, 60 or 90 days.
  2. The lender files a notice of default at the county recorder’s office (notifying the public) and mails a copy to the homeowner.
    1. If lender substitutes a new trustee at this point (sub-trustee) to continue the foreclosure process, it will add up to two weeks before the NOD (notice of default) and (sub-trustee) substitution trustee are filed.
  3. If the default is not cured within 90 days of the recorded notice of default:
    1. A notice of trustee’s sale will be sent to the homeowner.
    2. The notice will be recorded at the county recorder in the same county as the property resides.
    3. It will be posted in other public places once a week for three consecutive weeks. For example, it will be advertised in an area of legal publications (newspaper) for three weeks once a week.
    4. The last publication needs to be at least 10 days, but not more that 30 days before the date of the trustee’s sale.
    5. The Lender or Trustee must post the notice of sale in a conspicuous place on the property at least 20 days before the trustee’s sale is scheduled.
  4. Not more than 20 days after the posting on the property and the last publication, a trustee’s sale will be held and the property sold to the highest bidder. The highest bidder will pay $5,000 down and the balance within 24 hours. A lot of the time, this will be the lender, who will bid either the minimum debt bid or a specified bid that is a higher price than what anyone is willing to bid at the auction. A trustee’s deed will then be transferred to the new owner.
  5. If the previous owner has not yet moved out at this time, the new owner will request a writ of restitution from the courts. The writ of restitution will then be sent to a sheriff, who will show up and physically remove the homeowner form the property and change the locks. Any belongings still in the property will be moved and stored for 30 days. The homeowner can get back her items but must pay for reasonable moving and storage fees.