Answers to Questions About the Foreclosure Process in Minnesota

Answers to Questions About the Foreclosure Process in Minnesota 

Foreclosure Time  - Represents an average timeline and may vary by lender. 

1st Payment Missed - Lender calls and sends letter to homeowner

2nd Payment Missed - Collection Department continues calls and letters.  Loan is now in "Default".  - 30 day default letter is sent to homeowner.  Lender has a right to refuse partial payments.  Late fees accrue each month. Homeowner has a right to reinstate by paying delinquent amounts including fees. 

3rd Payment Missed - Collection efforts continue and there is a transfer to the Foreclosure Department.  Lender has a right to refuse partial payments.  Late fees accrue each month. Homeowner has a right to reinstate by paying delinquent amounts including fees.

4th Payment Missed - Account is forwarded to the foreclosure attorney.  Legal fees accrue.  Lender has a right to refuse partial payments.  Late fees accrue each month. Homeowner has a right to reinstate by paying delinquent amounts including fees.  Lender has a right to refuse partial payments. 

5th Payment Missed - Foreclosing Attorney schedules sheriff's sale (four weeks before sale).  Sheriff's sale date is published for six consecutive weeks in the newspaper(s). Lender has a right to refuse partial payments.  Late fees accrue each month. Homeowner has a right to reinstate by paying delinquent amounts including fees.

6th Payment Missed - Occupant served with notice of Sherriff's Sale (Four weeks before sale). Lender has a right to refuse partial payments.  Late fees accrue each month,  Homeowner has a right to reinstate by paying delinquent amounts including fees.  6 month redemption period immediately follow Sheriff's Sale.  Homeowner retains right to occupy home and payoff entire mortgage including fees.  Must pay off mortgage or vacate property by end of Redemption Period or face eviction. 

 7th Payment Missed - Sheriff's sale occurs (deadline to bring mortgage payment current.  Lender has a right to refuse partial payments.  Late fees accrue each month.  Homeowner has a right to reinstate by paying delinquent amounts including fees.6 month redemption period immediately follow Sheriff's Sale.  Homeowner retains right to occupy home and payoff entire mortgage including fees.  Must pay off mortgage or vacate property by end of Redemption Period or face eviction.

This represents an average timeframe and will vary by lender. 

I am not an attorney, but this was provided to me by a licensed Minnesota attorney.  If you have legal or financial questions, please contact a professional.