What is the foreclosure process?
The foreclosure process laws can vary by state. A foreclosure occurs when a property owner cannot make principal and/or interest payments on his/her loan.
The stages of foreclosure in California are:
- Notice of Default - the start of the foreclosure process. This is the initial notice recorded when a borrower does not meet the terms of a loan.
- Notice of Trustee Sale - sets the auction date. Notice of Trustee Sale can be recorded 90 days after the Notice of Default.
- Auction - the original auction date set can be just 14 days after the Notice of Trustees Sale is recorded.
- Trustee’s Deed - a transfer of a property to a winning bidder, or to the foreclosing bank if no bids are received.
To see a visual presentation of this process and get more information, go to California Foreclosure Process.