FORECLOSURE time line

Quick Facts

Judicial Foreclosure Available: Yes
Non-Judicial Foreclosure Available: Yes
Primary Security Instrument: Deed of Trust, Mortgage
Timeline: Varies
Right of Redemption: Yes
Deficiency Judgments Allowed: Yes

30 days-first late payment
60 days- legal letters begin to arrive, some may come from an attorney's office.
This IS NOT the start of foreclosure, just a warning.
90 days- NOD (notice of default) is recorded. Certified letter will be sent. the letter will either say NOD or substitution of trustee.
150 days a notice of sale will be posted. It will state the date of the foreclosure sale. It will be mailed certified mail and posted on the home.
180 days the home goes to sale. If sold at auction its processed by the servicer. If not it goes REO and is reverted back to the bank or investor on the note.

In Utah, lenders may foreclose on a mortgage in default by using the judicial foreclosure process.
Judicial Foreclosure
The judicial foreclosure process is one in which the lender must file a complaint against the borrower and obtain a decree of sale from a court having jurisdiction in the county where the property is located before foreclosure proceedings can begin. Generally, if the court finds the borrower in default, they will give them a set period of time to pay the delinquent amount, plus costs. If the borrower does not pay within the set period of time, the court will then order the property to be sold in the manner of normal execution sales.
Non-Judicial Foreclosure
The non-judicial process of foreclosure is used when a power of sale clause exists in a mortgage or deed of trust. A "power of sale" clause is the clause in a deed of trust or mortgage, in which the borrower pre-authorizes the sale of property to pay off the balance on a loan in the event of the their default. In deeds of trust or mortgages where a power of sale exists, the power given to the lender to sell the property may be executed by the lender or their representative, typically referred to as the trustee. Regulations for this type of foreclosure process are outlined below in the "Power of Sale Foreclosure Guidelines".
Power of Sale Foreclosure Guidelines
If the deed of trust or mortgage contains a power of sale clause and specifies the time, place and terms of sale, then the specified procedure must be followed. Otherwise, the non-judicial power of sale foreclosure is carried out as follows:

1. A notice of sale must be published once a week for three (3) consecutive weeks in a newspaper of general circulation in the county where the property is to be sold. The last publication must be at least ten (10) days but not more than thirty (30) days before the date of sale is scheduled.
2. The notice of sale must also be posted, at least twenty (20) days before the date of sale is scheduled, in some conspicuous place on the property to be sold and at the office of the county recorder of each county in which the property is located.
3. The place of sale must be clearly advertised in the notice of sale and the sale must be held between the hours of 8 am and 5 pm.
4. Borrowers do have a right of redemption in Utah, but the court may extend the redemption time past the time allowed in regular judgments so there is no set length of time. Rarely will the reps at the bank and investor assist the follow through of this process. IF they do the entire process needs to occur in 5 days.

Getting a postponements requires luck, skill and knowledge of the posting. Your agent on your short sale does not know automatically of any notice or postings. Its important as a seller than you open all your mail, get any certified letter immediately and tell your agent of any certified or posted activity RIGHT AWAY!

It is possible to obtain a deficiency judgment against the borrower for the difference between the amount the borrower owed on the original loan and the foreclosure sale price and the lender may be able to seize the property until the differing amount is paid. This usually does not occur when the investor has been federal like HUD, FHA, Fannie & Freddie.