Judicial
Strict Foreclosure- A legal procedure which enables the lender to take title from a defaulting borrower without a foreclosure sale. The court grants the borrower a specified amount of time to pay off the loan. If the debt is not paid, title is awarded to the lender.
Judicial Sale- Legal proceeding where a lender files a lawsuit against a defaulting borrower in order to force the sale of property held as collateral.
Nonjudicial
Power of Sale - Mortgage provision which enables the lender to foreclose without filing a lawsuit.
Deed in Lieu of Foreclosure- Also know as a "Friendly Foreclosure". A deed given to a lender by a defaulting borrower who wishes to avoid foreclosure proceedings. The lender may or may not accept the deed.
No comments:
Post a Comment