Foreclosure Timeline

Foreclosure Chain of Events

Non-judicial deed of trust foreclosure timeline:

Through the course of a foreclosure, the borrower is entitled to specific notices that should inform him of his rights and deadlines. A foreclosure can be completed as early as six months from the date of the default.

Foreclosures notices:

Notice of Default (NOD) : The borrower can receive this after the first missed payment was due. The NOD should be received by the borrower at least 30 days before the Notice of Trustee’s Sale is recorded. Once the borrower receives this notice, this is the official start of the foreclosure process.

Notice of Trustee’s Sale (NOT) : The borrower will most likely receive a NOT sale at least 90 days before the sale.

Notice of Foreclosure : The borrower will receive a Notice of Foreclosure with the Notice of Trustee’s Sale.

Trustee’s Sale

If the house is sold, the borrower must move out within 20 days after the sale or an eviction action may be filed. From the start an eviction action, the new owner must serve the borrower with a Summons and Complaint for an unlawful detainer action. If the borrower is served with these legal documents, they should contact an attorney immediately.

Once the house is sold, the borrower has no right to get it back, unless the property resides in a state with redemption rights. If the house is sold for less than the borrower owes the bank, the borrower may be required to make up the difference. Depending on the situation of the owner and assets that can be obtained, it is possible the lender will seek a deficiency judgment against the borrower.