1. The lender can then sell your home to collect the cash you owe on your mortgage.
2. You can beforced outfrom the home.

- Demands for upfront payment for assistance
- Guarantees that the aid will work and let you keep your home
- Being asked to transfer the title to your home, or other documents you do not comprehend
- High pressure sales techniques that press you to act right away

The Consumer Financial Protection Bureau hasmore information on foreclosure rip-offs.

If your mortgage is being gathered by a mortgage "" servicer"," under federal law, they are needed to follow a specific "" loss mitigation" "process to assist property owners who are having difficulty making their mortgage payments. The Consumer Financial Protection Bureau hasdetails about what loss mitigation could look likeand a website onmortgage relief choices.

Most foreclosures in Utah are done without a court case. They follow a process called "" nonjudicial foreclosure." "This is also in some cases called a "" trustee sale." "The actions in a nonjudicial foreclosure are listed below.

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

The lending institution or loan servicer need to mail a notice to the homeowner providing a minimum of 1 month to become existing on the loan ("" cure 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 avoids a "" mortgage servicer" "from starting a foreclosure until the debtor is more than 120 days past due on the loan.12 CFR 1024.41

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

The Notice of Default provides you three months to become existing on the payments, and any late costs, legal fees and collection costs. This is sometimes called "" treating the default."

" -mail a copy to you a minimum of 20 days before the sale (if your deed of trust includes a request for notification, which it probably does).
- release the Notice of the Sale in a newspaper as soon as 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) andUtah Code 57-1-25

You can request that the trustee delay or stop the sale and cancel the Notice of Default by paying the entire loan balance along with legal costs and other charges related to 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 deficiency, the lender can sue you in court for the distinction in between what you owe on the loan and the quantity the residential or commercial property was offered for, plus their costs. The loan provider should sue you within three months after the sale. The quantity of the deficiency judgement is limited to the distinction between your overall financial obligation on the residential or commercial property and the residential or commercial property's reasonable market worth.Utah Code Ann. § 57-1-32

If the home is sold for more than you owed on it, the trustee may deposit the excess earnings with the district court in which the sale took place and leave it to the court to decide who is entitled to those funds. You may be entitled to this money. See ourPetition for Adjudication of Priority to Funds on Trustee's Salewebsites for additional information and forms.

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

A renter living in the home may be entitled to a 90 day notice before they can be kicked out. The protection uses to mortgages that are federally related. To get this additional time they need to show that they are a "" bona fide" "tenant. An authentic occupant:

- is not the foreclosed house owner or the spouse, child, or parent of the foreclosed house owner.
- negotiated their lease with the previous homeowner as if they were complete strangers, without providing or receiving any unique favors, and.
- is needed to pay rent that is not considerably less than fair market rent for the residential or commercial property or the unit's rent is lowered or subsidized due to a Federal, State, or regional aid.

12 USC 5220, note.

For more details on the expulsion procedure see ourpage on expulsions.

Getting aid

Housing counselors

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

You can also get assistance by 888-995-HOPE (4673) to speak with housingtherapists readily available across the country.

Additional Foreclosure Resources

Consumer info on mortgagesfrom the Consumer Financial Protection Bureau.

This page describes what a property foreclosure is, the actions associated with the procedure, and where to get assistance.

Foreclosure is the legal process a loan provider can utilize to take the title to your home. Usually loan providers start foreclosure proceedings when they think you have not made your mortgage payments.

Once foreclosure is complete you no longer own your home and 2 things can take place:

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

2. You can be evicted from the home.

Watch out for foreclosure scams and phony legal help

Facing foreclosure can be demanding, and trying to find a silver bullet to resolve your issues can be tempting. Scam artists could try to benefit from you during this time. Here are some indication that you might be handling a rip-off:

- Demands for in advance payment for help.

- Guarantees that the aid 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 methods that push you to act right away.


The Consumer Financial Protection Bureau has more details on foreclosure rip-offs.

Try to work out a payment strategy

Typically, the house owner misses out on a payment and receives a notice of delinquency from the lending institution. If you want to keep your home and have gotten a notification of delinquency, or even if you have not received such a notice however can not make your complete payment, call your lender immediately to explain your situation and see if you can work out a payment plan or if they can modify your loan so you can manage the payments. Any agreement or adjustment requires to be in writing. You may be able to get help from a foreclosure counselor. Please see the Resources area at the bottom of this page.

If your mortgage is being collected 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 might look like and a website on mortgage relief options.

You can call your lender at any time in the foreclosure procedure, and till the home is offered, there might be a chance to exercise a payment plan.

Foreclosure procedure and timeline

Most foreclosures in Utah are done without a lawsuit. They follow a procedure called "nonjudicial foreclosure." This is likewise sometimes called a "trustee sale." The actions in a nonjudicial foreclosure are below.

Step 1. Account delinquent

If a homeowner stops working to make their month-to-month payment on time, their mortgage becomes overdue. The loan is now in "default." The lending institution should supply the property owner a Notification of Delinquency and give them the chance to make the past due payments.

Step 2. Preforeclosure notification

The loan provider or loan servicer need to send by mail a notice to the property owner providing at least thirty days to become current on the loan (" treat the default") and offer them a "single point of contact" with which to speak concerning their loan. Utah Code 57-1-24.3

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

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

The foreclosure process formally starts when the trustee (a 3rd party, such as an escrow company, bank, or other banks, that holds the legal title to the residential or commercial property up until you settle the quantity you owe) records a Notice 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 need to be sent this notice. It is typically sent out by authorized mail, requiring you to select it up at the post office or indication for it. If you do not select it up, the notice will likely still stand. Utah Code 57-1-26( 2 )( a)

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

Step 4. Notice of trustee's sale

If you do not cure the default in the three month period, the trustee will tape-record a Notice of Sale and:

- mail a copy to you a minimum of 20 days before the sale (if your deed of trust includes a demand for notification, which it most likely does).

- release the Notice of the Sale in a paper as soon as 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) and Utah Code 57-1-25.


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

Step 5. Foreclosure sale

At the foreclosure sale, the residential or commercial property will be offered to the greatest bidder, which is usually the bank that is foreclosing on your mortgage. At the sale, the bank doesn't need to bid money. It can bid the quantity that you owe them and relieve you of all additional financial responsibility. If the credit bid is the highest bid at the sale, the residential or commercial property then becomes owned by the lending institution.

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 deficiency, the loan provider 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 expenses. The loan provider must sue you within three months after the sale. The amount of the deficiency judgement is limited to the distinction between your total debt 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 offered for more than you owed on it, the trustee might transfer the excess profits with the district court in which the sale occurred and leave it to the court to decide who is entitled to those funds. You might be entitled to this cash. See our Petition for Adjudication of Priority to Funds on Trustee's Sale websites for more details and forms.

Eviction following foreclosure

If you don't abandon the residential or commercial property following the foreclosure sale, the new owner can take actions to evict you. The eviction process starts with an Expulsion Notice. If you don't leave by the deadline given in the notice, the brand-new owner will go through the court system to evict you. See our website on Eviction for additional information.

Extra time for occupants

A tenant living in the home may be entitled to a 90 day notification before they can be kicked out. The security uses to mortgages that are federally related. To get this additional time they must show that they are a "authentic" tenant.