West Virginia Foreclosure Process and Laws

 


Quick Facts About the West Virginia Foreclosure Process

Judicial Foreclosure Available: Yes

Non-Judicial Foreclosure Available: Yes

Primary Security Instruments: Deed of Trust, Mortgage

Timeline: Typically 60 days

Right of Redemption: No

Deficiency Judgments Allowed: No

In West Virginia, lenders may use a judicial or non-judicial process to foreclose on mortgages and deeds of trust in default.

Judicial Foreclosure
When no power of sale is present in a mortgage, the judicial process is done be filing a suit to obtain a court order to foreclose. The property may then be sold to the highest bidder at an action.

Non-Judicial Foreclosure
When a power of sale clause is present in a mortgage, this means that the borrower has pre-authorized the sale of the property to pay off his debts in the event of his default. The lender obtains the power to sell the property, and either he or a trustee can sell the property at an auction according to the “Power of Sale Foreclosure Guidelines”.

Power of Sale Foreclosure Guidelines
If the power of sale clause does not specify the terms of the sale, the non-judicial foreclosure process must be done by:

  1. The notice of sale must be put up in 4 public places around the county where the property is located, one of which should be put up in the courthouse, and another in the property itself, 20 days before the foreclosure sale. The notice must also be sent to the borrower and the subordinate lien holders at the same time.
  2. The notice must also be published as a Class III legal advertisement in the county where the property is located once a week for four (4) weeks.
  3. The notice must contain the pertinent information of the sale, which includes time and place of sale, names of the borrower and lender, dae of deed, recording information, a description of the property and other terms of the sale.
  4. The sale must take place at the time and place specified, with the property going to the highest bidder. 1/3 of the price bid must be paid in cash unless otherwise stated in the deed of trust.

Lenders are not permitted to file for deficiency suits and borrowers have no rights of redemption.

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.

Charleston Field Office

405 Capitol Street,
Suite 708
Charleston, WV 25301-1795

Phone: (304) 347-7000
Fax: (304) 347-7050
TTY: (304) 347-5332

Jurisdiction: State of West Virginia

Peter C. Minter
Field Office Director

Office Hours: 8:00 AM to 4:30 PM
Monday through Friday