North Dakota Foreclosure Process and Laws
Quick Facts About the North Dakota Foreclosure Process
Judicial Foreclosure Available: Yes
Non-Judicial Foreclosure Available: No
Primary Security Instruments: Mortgage
Timeline: Typically 90 days
Right of Redemption: Yes
Deficiency Judgments Allowed: Yes
Lenders in North Dakota can foreclose on a mortgage or deed of trust in default through a judicial foreclosure process only.
Usually in the judicial foreclosure process, the court orders the borrower to pay his debts within a fixed time period. If he is not able to come up with the payment in this time, the property will then be put up for sale.
In North Dakota, the lender must inform the borrower of their intent to foreclose at least 30 days in advance. The notice must be sent by registered mail no later than 90 days before filing of the suit, and it must contain a description of the property, the date and amount of mortgage, individual amounts due to expenses like principal, interest and taxes paid by the lender and a statement of the lawsuit that will be filed if the debts are not settled within 30 days from the time the notice was mailed.
The foreclosure process may be stopped as long as the borrower pays the balance that he owes, as well as foreclosure costs before the sale is confirmed by the court.
Sales can only be done by the sheriff or his deputy in the county where the property is located. It will be auctioned off to the highest bidder, who will be given a certificate of sale until the redemption rights of the borrower has expired. Borrowers usually have one year to pay off his balance plus other debts. But it can be as short as six months if the mortgage includes short-term redemption rights.
A lender may file a deficiency judgement in North Dakota.
Foreclosure Avoidance Counseling
HUD-approved housing counseling agencies are available to provide you with the information and assistance you need to avoid foreclosure. As part of President Obama’s comprehensive Homeowner Affordability and Stability Plan (HASP), you may be eligible for a special Making Home Affordable loan modification or refinance, to reduce your monthly payments and help you keep your home.
If you need help understanding the Making Home Affordable programs, you can use this search tool to find a counseling agency in your area that will provide you with free foreclosure prevention services. If you are eligible for the loan modification or refinance program, the counselor will work with you to compile an intake package for your servicer.
Foreclosure prevention counseling services are provided free of charge by nonprofit housing counseling agencies working in partnership with the Federal Government. These agencies are funded, in part, by HUD and NeighborWorks® America. There is no need to pay a private company for these services.
Fargo Field Office
Department of Housing and Urban Development
657 2nd Avenue North
Third Floor, Room 366
P.O. Box 2483
Fargo, North Dakota 58108-2483
Phone: (701) 239-5136
Fax: (701) 239-5249
TTY: (406) 239-5668
Jurisdiction: State of North Dakota
Field Office Director
Office Hours: 8:00 a.m. to 4:30 p.m.
Monday through Friday