How the Judicial Foreclosure Process Works

With the economy declining, foreclosures are rising and many homeowners that never thought they would facing foreclosure are now wondering what is going to happen to them. The foreclosure process is sometimes lengthy and varies by state. There are two types of foreclosure, judicial and non-judicial.

The Judicial foreclosure process varies by state. Some states have both a non-judicial and a judicial (court run) foreclosure process. Some do not have a court run foreclosure process. The most important thing to remember is that there are several stages in the foreclosure process where you can try and resolve the matter.

The foreclosure process varies from state to state. The first step is to find out what kind of foreclosures your state allows. If you want to know your state’s procedures call your secretary of state and they will be able to inform you about the exact process. You can also call the court where the foreclosure was filed and they will (and are required by law) to advise you on the exact process.

Non-Judicial States

If you live in these states you need to worry the most because foreclosure happens very quickly with a deed of sale. Your house can be sold out from under you and you will be required to leave very quickly. States that only have non-judicial processes are:

  • Michigan
  • New Hampshire
  • Tennessee
  • West Virginia

Both Non-Judicial and Judicial

In the case of the state having both, your original mortgage paperwork will let you know how the lender would proceed with foreclosure. Usually if the lender can avoid court they will by using the non-judicial process and an arbitrator. States with both the Judicial and the Non Judicial are:

  • Alabama
  • Alaska
  • Arizona
  • Arkansas
  • California
  • Colorado
  • Georgia
  • Hawaii
  • Idaho
  • Iowa
  • Minnesota
  • Mississippi
  • Missouri
  • Montana
  • Nevada
  • North Carolina
  • Oklahoma
  • Oregon
  • Rhode Island
  • South Dakota
  • Texas
  • Virginia
  • Washington
  • Wisconsin
  • Wyoming

Judicial Process States

In the Judicial process the mortgage holder has to go to the court and prove that you are in default and that they have exhausted all attempts to resolve this default with you. The homeowner is then contacted by an attorney who calls you and sees if a resolution can be achieved. If the attorney cannot achieve a resolution then he files a pending lawsuit with the court. This process can take several months depending on your state.

This process is here to prove default and get court approval to being foreclosure proceedings. After that it is really up to your state. You will be served with papers and required to appear in court to speak on your default. If you live in these states please read the whole process below because it will be very important if you are facing foreclosure. There are several stages where you can stop the foreclosure. States that only have Judicial are:

  • Connecticut
  • Delaware
  • Florida
  • Illinois
  • Indiana
  • Kansas
  • Kentucky
  • Louisiana
  • Maine
  • Maryland
  • Massachusetts
  • Nebraska
  • New Jersey
  • New Mexico
  • New York
  • North Dakota
  • Ohio
  • Pennsylvania
  • South Carolina
  • Vermont