1. The loan provider can then offer your home to gather the cash you owe on your mortgage.
2. You can beforced outfrom the home.

- Demands for in advance payment for help
- Guarantees that the assistance will work and let you keep your home
- Being asked to sign over the title to your home, or other documents you do not comprehend
- High pressure sales strategies that push you to act right now

The Consumer Financial Protection Bureau hasmore details on foreclosure scams.

If your mortgage is being gathered by a mortgage "" servicer"," under federal law, they are required to follow a particular "" loss mitigation" "process to assist house owners who are having difficulty making their mortgage payments. The Consumer Financial Protection Bureau hasdetails about what loss mitigation might look likeand a web page onmortgage relief choices.

Most foreclosures in Utah are done without a court case. They follow a process understood as "" nonjudicial foreclosure." "This is also sometimes called a "" trustee sale." "The steps in a nonjudicial foreclosure are listed below.

If a house owner fails to make their monthly payment on time, their mortgage ends up being delinquent. The loan is now in "" default"." The loan provider needs to supply the house owner a Notification of Delinquency and give them the chance to make the past due payments.

The lending institution or loan servicer should mail a notification to the homeowner providing a minimum of thirty days to become existing on the loan ("" treat the default"" )and provide them a "" single point of contact" "with which to speak regarding their loan.Utah Code 57-1-24.3

Federal law typically prevents a "" mortgage servicer" "from initiating a foreclosure till the debtor is more than 120 days overdue on the loan.12 CFR 1024.41

Within 10 days of recording the Notice of Default at the County Recorder's workplace, the trustee sends by mail a copy of the Notice of Default to anybody who has actually asked for a copy. You ought to be sent this notification. It is usually sent by authorized mail, requiring you to pick it up at the post office or indication for it. If you do not choose it up, the notification will likely still be valid.Utah Code 57-1-26( 2 )( a)

The Notice of Default provides you 3 months to end up being present on the payments, and any late fees, legal fees and collection charges. This is often called "" curing the default."

" -mail a copy to you a minimum of 20 days before the sale (if your deed of trust consists of an ask for notification, which it most likely does).
- release the Notice of the Sale in a newspaper once a week for three weeks, and.
- publish the Notice of Sale on the residential or commercial property a minimum of 20 days before the sale.Utah Code 57-1-26( 2 )( b) andUtah Code 57-1-25

You can ask for that the trustee hold off or stop the sale and cancel the Notice of Default by paying the whole loan balance as well as legal costs and other fees connected with the foreclosure.

Sometimes the residential or commercial property will cost less than what you owe on the loan. This is called a deficiency. If there is a shortage, the loan provider can sue you in court for the difference between what you owe on the loan and the quantity the residential or commercial property was offered for, plus their costs. The lending institution needs to sue you within three months after the sale. The amount of the deficiency judgement is restricted to the distinction between your total debt on the residential or commercial property and the residential or commercial property's reasonable market price.Utah Code Ann. § 57-1-32

If the home is offered for more than you owed on it, the trustee might deposit the excess earnings with the district court in which the sale happened and leave it to the court to choose who is entitled to those funds. You might be entitled to this cash. See ourPetition for Adjudication of Priority to Funds on Trustee's Salewebsites for more information and kinds.

If you don't abandon the residential or commercial property following the foreclosure sale, the brand-new owner can take steps to evict you. The eviction procedure begins with an Eviction Notice. If you do not leave by the deadline offered in the notification, the brand-new owner will go through the court system to evict you. See our website onEvictionfor more details.

A renter living in the home might be entitled to a 90 day notification before they can be evicted. The defense uses to mortgages that are federally related. To get this extra time they must show that they are a "" bona fide" "renter. An authentic tenant:

- is not the foreclosed homeowner or the partner, child, or moms and dad of the foreclosed house owner.
- negotiated their lease with the previous property owner as if they were complete strangers, without giving or receiving any unique favors, and.
- is required to pay lease that is not considerably less than reasonable market rent for the residential or commercial property or the system's lease is lowered or subsidized due to a Federal, State, or local aid.

12 USC 5220, note.

To learn more on the eviction process see ourpage on expulsions.

Getting assistance

Housing counselors

The Consumer Financial Protection Bureau hasa list of housing counselors, searchable by ZIP code.

You can likewise get aid by 888-995-HOPE (4673) to speak with housingcounselors available throughout the nation.

Additional Foreclosure Resources

Consumer information on mortgagesfrom the Consumer Financial Protection Bureau.

This page discusses what a property foreclosure is, the steps included in the procedure, and where to get assistance.

Foreclosure is the legal procedure a lending institution can utilize to take the title to your home. Usually loan providers begin foreclosure proceedings when they think you have actually not made your mortgage payments.

Once foreclosure is total you no longer own your home and two things can happen:

1. The lender can then offer your home to gather the cash you owe on your mortgage.

2. You can be kicked out from the home.

Keep an eye out for foreclosure rip-offs and fake legal aid

Facing foreclosure can be stressful, and searching for a silver bullet to solve your issues can be tempting. Scam artists could try to benefit from you throughout this time. Here are some caution signs that you could be handling a fraud:

- Demands for upfront payment for aid.

- Guarantees that the help will work and let you keep your home.

- Being asked to transfer the title to your home, or other files you don't understand.

- High pressure sales strategies that press you to act right away.


The Consumer Financial Protection Bureau has more details on foreclosure frauds.

Try to work out a payment plan

Typically, the property owner misses a payment and gets a notification of delinquency from the loan provider. If you want to keep your home and have received a notice of delinquency, or even if you have not gotten such a notification however can not make your complete payment, contact your lending institution immediately to explain your situation and see if you can work out a payment strategy or if they can customize your loan so you can manage the payments. Any contract or adjustment needs to be in writing. You might be able to get help from a foreclosure therapist. Please see the Resources area at the bottom of this page.

If your mortgage is being gathered by a mortgage "servicer," under federal law, they are required to follow a specific "loss mitigation" procedure to help homeowners who are having trouble making their mortgage payments. The Consumer Financial Protection Bureau has information about what loss mitigation could look like and a webpage on mortgage relief alternatives.

You can call your loan provider at any time in the foreclosure process, and till the home is offered, there might be a chance to exercise a payment strategy.

Foreclosure process and timeline

Most foreclosures in Utah are done without a lawsuit. They follow a process known as "nonjudicial foreclosure." This is likewise in some cases called a "trustee sale." The steps in a nonjudicial foreclosure are listed below.

Step 1. Account overdue

If a property owner stops working to make their monthly payment on time, their mortgage ends up being delinquent. The loan is now in "default." The lender ought to offer the homeowner a Notice of Delinquency and offer them the chance to make the past due payments.

Step 2. Preforeclosure notification

The loan provider or loan servicer should mail a notice to the homeowner offering them a minimum of thirty days to become present on the loan (" treat the default") and supply them a "single point of contact" with which to speak concerning their loan. Utah Code 57-1-24.3

Federal law normally avoids a "mortgage servicer" from initiating a foreclosure up until the customer is more than 120 days past due on the loan. 12 CFR 1024.41

Step 3. Notice of Default (Utah Code 57-1-24)

The foreclosure procedure formally starts when the trustee (a 3rd party, such as an escrow business, bank, or other financial institution, that holds the legal title to the residential or commercial property up until you pay off the quantity you owe) records a Notification of Default at the County Recorder's workplace. The Notice of Default is various from the Notice of Delinquency.

Within ten days of recording the Notice of Default at the County Recorder's workplace, the trustee sends by mail a copy of the Notice of Default to anybody who has asked for a copy. You ought to be sent this notification. It is usually sent out by authorized mail, requiring you to choose it up at the post workplace or indication for it. If you do not select it up, the notification will likely still be valid. Utah Code 57-1-26( 2 )( a)

The Notice of Default gives you 3 months to end up being present on the payments, and any late costs, legal fees and collection costs. This is sometimes called "treating the default."

Step 4. Notice of trustee's sale

If you do not treat the default in the 3 month duration, the trustee will tape a Notice of Sale and:

- mail a copy to you at least 20 days before the sale (if your deed of trust consists of a request for notification, which it probably does).

- publish the Notice of the Sale in a newspaper when a week for 3 weeks, and.

- post the Notice of Sale on the residential or commercial property at least 20 days before the sale. Utah Code 57-1-26( 2 )( b) and Utah Code 57-1-25.


You can request that the trustee hold off or stop the sale and cancel the Notice of Default by paying the entire loan balance as well as legal fees and other costs connected with the foreclosure.

Step 5. Foreclosure sale

At the foreclosure sale, the residential or commercial property will be sold to the highest bidder, which is normally the bank that is foreclosing on your mortgage. At the sale, the bank does not have to bid cash. It can bid the amount that you owe them and relieve you of all further financial duty. If the credit bid is the highest bid at the sale, the residential or commercial property then becomes owned by the lender.

Step 6. Deficiency judgment following sale

Sometimes the residential or commercial property will sell for less than what you owe on the loan. This is called a shortage. If there is a shortage, the lender can sue you in court for the difference in between what you owe on the loan and the amount the residential or commercial property was offered for, plus their expenditures. The lender should sue you within 3 months after the sale. The quantity of the shortage judgement is limited to the difference between your total financial obligation on the residential or commercial property and the residential or commercial property's fair market price. Utah Code Ann. § 57-1-32

Excess earnings from trustee's sale

If the home is sold for more than you owed on it, the trustee might deposit the excess proceeds with the district court in which the sale took location and leave it to the court to decide who is entitled to those funds. You may be entitled to this cash. See our Petition for Adjudication of Priority to Funds on Trustee's Sale web page for additional information and kinds.

Eviction following foreclosure

If you do not leave the residential or commercial property following the foreclosure sale, the new owner can take actions to evict you. The eviction process begins with an Eviction Notice. If you do not leave by the deadline given up the notification, the brand-new owner will go through the court system to evict you. See our web page on Eviction to find out more.

Extra time for occupants

A renter living in the home may be entitled to a 90 day notification before they can be forced out. The defense uses to mortgages that are federally related. To get this additional time they need to reveal that they are a "authentic" renter.