The following time-line is applicable for California Non-Judicial Foreclosures under a deed of trust. Foreclosures begin when the Trustor (borrower) does not make the monthly payment to the Beneficiary (Lender).
The first missed payment is a technical default, but in practical terms, most Beneficiaries do not begin the process until the third payment is missed.
If the Beneficiary cannot resolve the defaulted payment amount with the Trustor through forbearance or other loss mitigation measures, the Beneficiary will instruct the Trustee to begin foreclosure proceedings.
The Non – Judicial Foreclosure Timeline – California
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Day 1 |
Record “Notice of Default” |
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Within 10 Days |
Within 10 days of recording the Notice of Default, copies of the recorded document (NOD) are mailed to the Trustor(s) and anyone requesting Special Notice. |
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Within 1 Month |
Notice of Default is mailed to parties, pursuant to California Civil Code 2924(c) |
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After 3 Months |
At the end of 3-month, prepublication period, the Lender can then instruct the Trustee to set a sale date. |
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25 Days Prior to Sale Date |
Notice to the IRS must be given, if required |
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At Least 20 Days Prior to Sale Date |
Publish Notice of Sale, post Notice of Sale, mail Notice of Sale |
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Within 10 Days from first publication of Notice of Sale |
Send beneficiary request for property directions |
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14 Days Prior to Sale |
Record Notice of Trustee’s Sale |
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5 Business Days Before Sale Date |
Right to Reinstate expires |
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Sale Date |
Property is sold to highest bidder |
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This information is being provided to try and help educate individuals who may be experiencing a possible foreclosure or potential foreclosure proceeding. Of course you should always seek advice from an attorney when able to do so. In the event you can’t make your mortgage payment, or you suffer a hardship, contact your lender, bank, or mortgage company right away. Try and prevent this process from happening to you if possible. There are usually other options available if you take action in a timely manner. Don’t wait until you are behind in your payments, or your home is in default to seek councel or get advice from a real estate professional or real estate attorney. Sometimes just knowing the right thing to do, or who to call can make the difference between keeping and losing your home in foreclosure. |
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The information in this chart is meant for general illustration and/or informational purposes only and it is not to be construed as tax, legal, or investment advice. Although the information has been compiled from sources deemed reliable, please note that individual situations can vary and therefore, please consult your attorney for specific advice and legal counsel. |
If you or someone you know is having financial difficulty with their mortgage or loan payments, let them know about this post and their options. The best way to avoid a foreclosure, is by not waiting till the last minute to take action. A foreclosure will have both tax and credit consequences that you should try to avoid at all costs.
Related Topics: The Short Sale
The Escrow Closing Procedures around the United States
Short Sales
Easy Explanation of Foreclosures and Short Sales
Foreclosure Filings
How To Avoid Foreclosure
California Foreclosure Procedure
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This post updated 7/13/07