Stop Foreclosure in Mississippi

 


How to Stop Foreclosure in Mississippi

Mississippi employs a judicial and non-judicial approach to mortgage proceedings. This empowers creditors to pursue versatile mode of actions in seizing property, choosing to either expedite a settlement hearing in court, or simple notification to sell property for lenders who do not meet mortgage payments or have not been vocal about renegotiating the terms of their mortgage in the event of a foreclosure. Residential and Estate procedures are the same in the state, and foreclosure law establishes available avenues for lenders in a default of mortgage loan. To avoid having your property seized or sold, a smart and active approach to negotiation or legal counsel is advised. This will often save your home and even grant you an extension on your mortgage if not fully restructuring the terms of your loan.

A judicial proceeding entails a lawsuit being filed by the lender against the estate owner in default of the terms of sale on the mortgage. If the lender satisfies the terms of argument and justifies the cause of foreclosure proceedings, the state awards property ownership to the lender, and evicts the current owner from the home. Non-judicial proceedings allow home owners to reclaim possession of mortgaged property in lieu of a foreclosure. The power of sale clause is used in this arrangement where an owner is given the opportunity to reclaim property and sell it if the loan is defaulted.

Unlike most states, Mississippi foreclosure does not immediately grant redemption rights to borrowers. This means that the owner is not provided a timeframe to negate the foreclosure judgment, and maintain property. The owner has to satisfy the terms of the mortgage or forfeit rights to redeem. In the event of a foreclosure preceding the best protection for homeowners is to seek expert legal counsel and hire a foreclosure attorney to negate the terms of the foreclosure before it reaches a judicial standpoint.

Synopsis of Mississippi Foreclosure Laws

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 Mississippi, lenders may foreclose on deeds of trusts or mortgages in default using either a judicial or non-judicial foreclosure process.

Judicial Foreclosure

The judicial process of foreclosure, which involves filing a lawsuit to obtain a court order to foreclose, is used when no power of sale is present in the mortgage or deed of trust. Generally, after the court declares a foreclosure, your home will be auctioned off to the highest bidder.

Non-Judicial Foreclosure

The non-judicial process of foreclosure is used when a power of sale clause exists in a mortgage or deed of trust. A “power of sale” clause is the clause in a deed of trust or mortgage, in which the borrower pre-authorizes the sale of property to pay off the balance on a loan in the event of the their default. In deeds of trust or mortgages where a power of sale exists, the power given to the lender to sell the property may be executed by the lender or their representative, typically referred to as the trustee. Regulations for this type of foreclosure process are outlined below in the “Power of Sale Foreclosure Guidelines”.

Power of Sale Foreclosure Guidelines

If the deed of trust or mortgage contains a power of sale clause and specifies the time, place and terms of sale, then the specified procedure must be followed. Otherwise, the non-judicial power of sale foreclosure is carried out as follows:

  1. The trustee must record a notice of sale containing, at minimum, the borrowers name and the date, time and place of the sale in the county where the property is located. This notice must also be posted at the courthouse door in the county where the property is located and published in a newspaper of general circulation in said county for a period of three (3) consecutive weeks before the schedule date of the sale.
  2. The borrower may cure the default and stop the foreclosure process at any time before the foreclosure sale by paying the delinquent payments, plus costs and fees.
  3. The sale must be made at public auction for cash to the highest bidder. The sale may be held in the county where the property is located, or, if different, in the county where the borrower resides. In either case, the sale must be conducted at the normal location for sheriff’s sales within the given county. Borrowers who lose their property as the result of a non-judicial foreclosure have no rights of redemption in Mississippi.

Where to go to for Foreclosure Help

Jackson Field Office

Dr. A.H. McCoy Federal Building
100 W. Capitol St,
Suite 910
Jackson, MS 39269-1096

Phone: (601) 965-4757
Fax: (601) 965-4773
TTY: (601) 965-4171
Jurisdiction: State of Mississippi

Mary Merchant
Acting Field Office Director

Office Hours: 8:00 a.m. to 4:45 p.m.
Monday through Friday

Stop Foreclosure Early

FAIRWAY MORTGAGE
662-429-5100 Ext. 105
224 West Commerce St
Hernando, MS

FAIRWAY MORTGAGE
662-429-5100
224 West Commerce St
Hernando, MS

Mortgage Lending Group
601-664-9200
586 Lakeland Drive East Suite A
Flowood, MS

Regions Bank – Oxford Westside Center
662-232-8014
1800 Jackson Avenue West
Oxford, MS

Regions Bank – Winona
662-283-2261
335 Summit Street
Winona, MS

Southwest Funding
662-842-5525
813 Varsity Dr.
Tupelo, MS

Southwest Funding
662-842-5525
813 Varsity Dr.
Tupelo, MS

Shelby Mortgage Corporation
662-280-7730
917 Ferncliff Cove #5
Southaven, MS

Wells Fargo – Ocean Springs
228-872-2911
1701 Bienville Blvd
Ocean Springs, MS

Regions Bank – Ashland Center
662-224-6233
56 Main Street South
Ashland, MS