What is Foreclosure?
by admin on August 2, 2011
- Foreclosure is the legal proceeding in which a bank or other secured creditor sells or repossesses a piece of real property due to the owner’s default on its promissory note. When the process is complete, it is typically said that “the lender has foreclosed its mortgage or lien.”
- The legal process by which a borrower in default under a mortgage is deprived of his or her interest in the mortgaged property. This usually involves a forced sale of the property at public auction with the proceeds of the sale being applied to the mortgage debt.
- Legal process by which a mortgagor of real property is deprived of his interest in that property due to failure to comply with terms and conditions of the mortgage.
- The forced sale of property pledged as security for a debt that is in default.
