Mortgages: Default Settings

Foreclosure is the process by which the mortgagor's interest in the property is […]

terminated

Foreclosure involves the mortgagee selling the property and using the proceeds from that sale to satisfy the […]

debt

A foreclosure sale is conducted by [..1..], and the highest bidder gets the [..2..]

auction, property

The order of payment from foreclosure sale proceeds first includes attorney's fees and foreclosure […]

costs

After attorney's fees and foreclosure costs, the next payment from foreclosure sale proceeds goes to the claims of […]

creditors

Any surplus remaining money from foreclosure sale proceeds goes to the […]

debtor

When there are multiple creditors, sale proceeds are used to pay off [..1..] liens in their order of [..2..]

junior, priority

A junior lien is a lien that has lesser […]

priority

Priority of liens is generally determined by when a mortgage was [..1..] on the [..2..]

placed, property

Priority of liens can be affected by whether a mortgage was [..1..] or whether an earlier mortgagee agreed to be [..2..] to a later one

recorded, subordinated

A senior claimant is entitled to satisfaction in [..1..] before the next in line [..2..] claimant can receive any payment

full, junior

A deficiency occurs when the sale proceeds are [..1..] than what is needed to pay all claimants in [..2..]

less, full

With a deficiency, the claimant who was not paid in full can bring a [..1..] action against the debtor to recover the amount still [..2..]

personal, owed

Redemption is the mortgagor's right to redeem and free the land of the […]

mortgage

At any time [..1..] to the foreclosure sale, the mortgagor has the right to redeem the land and free it of the mortgage by paying off the amount [..2..]

prior, due

The right to redemption in equity is recognized in [..1..] [..2..]

all, states

The right to redemption in equity is [..1..] once a valid [..2..] sale has taken place

terminated, foreclosure

A statutory right of redemption allows redemption for a fixed period [..1..] the [..2..] sale has occurred

after, foreclosure

The amount the mortgagor must pay to redeem under statutory right of redemption is usually the [..1..] [..2..] price

foreclosure, sale

The statutory right of redemption is available in many states, but [..1..] [..2..]

not, all