Arizona Foreclosure Help – Stop Foreclosure in Arizona

 


Finding Foreclosure Help in Arizona

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.

Phoenix Field Office

Dept. of Housing and Urban Development
One North Central Avenue, Suite 600
Phoenix, AZ 85004

Phone: (602) 379-7100
Email: AZ_Webmanager@hud.gov

Fax: (602) 379-3985
TTY: (602) 379-7181

Jurisdiction: Arizona area from Casa Grande North

Rebecca Flanagan

Field Office Director

Office Hours: 8:00 a.m. to 4:30 p.m.
Monday through Friday

Tucson Field Office

Dept. of Housing and Urban Development

160 North Stone Avenue
Tucson, AZ 85701

Phone: (520) 670-6000
Email: AZ_Webmanager@hud.gov
Fax: (520) 670-6207

Jurisdiction: Arizona area South of Casa Grande

Rebecca Flanagan
Acting Field Office Director

Office Hours: 8:00 a.m. to 4:30 p.m.

Monday through Friday

Arizona Foreclosure Law Summary

  • Judicial foreclosure process is available.
  • Non-judicial foreclosure process is available.
  • The primary security instruments are deeds of trust and mortgages.
  • The timeline can vary by process, which typically takes 90 days.
  • The borrower has no right of redemption.
  • The lender may sue for deficiency judgements but vary by process.

Lenders in Arizona may foreclose on mortgages in default through a judicial or non-judicial process.

Judicial Foreclosure
When a power of sale clause is not present in a mortgage deal, the lender may file a lawsuit to obtain a court order to foreclose. The property may then be auctioned off to the highest bidder.

Non-Judicial Foreclosure

When a power of sale clause is present in a mortgage deal, the lender or a representative obtains the power to sell the property in the event of the borrower’s default.

Power of Sale Foreclosure Guidelines
If the power of sale clause specifies the time, place and terms of sale, then these must be followed. If not, the judicial foreclosure must be carried out as follows:

A notice of sale must first be recorded in the county where the property is located. After this, a copy of the notice must be sent to the parties included in the deed of trust within 5 days. This notice must also be published in the county newspaper once a week for 4 consecutive weeks, with the last notice not less than 10 days prior to the date of sale. A notice may also be posted on the property itself 20 days before the sale.

The property will be auctioned off to the highest bidder during the sale. The winning bidder must pay the amount by 5pm the next day or the trustee has the option of postponing the sale. The trustee has the option of extending the deadline for the payment.

The bidder will obtain the trustee’s deed as evidence of buying the property, while the money will go to the deed of trust that was foreclosed.

Deficiency suits are not allowed if the property lost is less than 2.5 acres, and the property was a one-family or two-family house. For other cases, deficiency suits are allowed but limited to the balance between the fair market price and the balance owed by the borrower. This must be filed within 90 days of the foreclosure sale.