Stop Foreclosure in Oregon

 


How to Stop Foreclosure in Oregon

One of the hardest things to stomach is the loss of your home. If you have problems paying for your home, then the bank giving you the loan may opt to foreclose your house. Not only will you lose your home, but this will also seriously affect your credit rating.

If you are residing in Oregon, then there are a couple of things you can do to stop the foreclosure process. Act now so as to further prevent the foreclosure.

  • Step 1
    Assess your financial capability. Determine the amount you can pay every month even if you have issues with regards to your finances. It doesn’t matter if it is only half or less, you should first know what is feasible with your income.
  • Step 2
    You should know that there are two types of foreclosures in the state. The non-judicial means is much more common and is much faster as compared to the judicial process. The judicial one requires a court proceeding while the non-judicial will only require compliance with the law for the lender to sell your home.
  • Step 3
    Know that you, as the homeowner, should be first notified about the impending foreclosure. If your lender does not follow this procedure, you are capable of stoping the foreclosure process. The notification of the sale must include your name, address, legal description of the house as well as the reason for it to be foreclosed. It must also contain the date and time of the sale as well as the total amout owed. A notification of default should also be given to you 120 days before the sale date since this notifies you that you have defaulted your loan and that the foreclosure is now being initiated.

Synopsis of Oregon Foreclosure Laws

Judicial Foreclosure Available: Yes

Non-Judicial Foreclosure Available: Yes

Primary Security Instruments: Deed of Trust, Mortgage

Timeline: Typically 180 days

Right of Redemption: Yes

Deficiency Judgments Allowed: Yes

In Oregon, 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.

In this type of foreclosure, the borrower may redeem the property by paying the purchase price, with interest, the foreclosure costs and the purchaser’s expenses in operating and maintaining the property within 180 days after the date of sale. The borrower must file a notice no less than two (2) days and not more than thirty (30) with the sheriff to redeem.

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. A notice of default must be recorded in the county where the property is located and the borrower and/or occupant of the property must be served with a copy of the notice at least 120 days before the scheduled foreclosure sale date.
  2. A copy of the notice must be published once a week for four (4) successive weeks, with the last notice being published at least twenty (20) days prior to the foreclosure sale.
  3. Said notice must contain a property description, recording information on the trust deed, a description of the default, the sum owing on the loan, the lender’s election to sell and the date, time and place of sale.
  4. The borrower may cure the default at any time prior to foreclosure by paying all past due amounts, plus costs.
  5. The sale must be at auction to the highest bidder for cash. Any person, except the trustee, may bid at the sale, which take place between 9:00 am and 4:00 pm at the location stated in the notice of record.
  6. The sale may be postponed for up to 180 days from the original sale date if at least twenty (20) days advance notice is given, by mail, to the original recipients of the notice.

A deficiency judgment cannot be obtained through a non-judicial foreclosure, but may be pursued when other foreclosure methods are used.

Where to go to for Foreclosure Help

Portland Field Office

400 S.W. Sixth Avenue, Suite 700
Portland, OR 97204-1632

Phone: (971) 222-2600
Fax: (971) 222-0357
TTY: (971) 222-2625

Jurisdiction: State of Oregon

Doug Carlson
Acting Field Office Director

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

Stop Foreclosure Early

IGR Mortgage Services
503-224-8350
4445 SW Barbur Blvd
Portland, OR

Marleen Pitts Appraisals
541-382-1043
61183 Concho St., Bend
La Pine, OR

Academy Mortgage Corporation
(503) 467-4150
10220 Sw Greenburg Rd
Portland, OR

Accord Property Management
(541) 536-1165
16430 3rd St
La Pine, OR

Hamilton, Jean C – Broker
(541) 536-1384
16430 3rd St
La Pine, OR

La Pine Property Management Services
541-536-1114
51480 Hwy 97
La Pine, OR

Little Deschutes Lodge, LP
(541) 390-9679
5 NW Minnesota Ave, #210, Bend
La Pine, OR

1st Rate Mortgage Inc
(503) 548-8111
735 Se 9th Ave
Portland, OR

Landmark Reverse Mortgage
503-358-7707
12901 SE 97th Ave
Clackamas, OR

Village Properties
1-866-320-5139
Sunriver Village Mall Building 5, Sunriver
La Pine, OR