Oklahoma Foreclosure Law

In Oklahoma foreclosure law, Judicial Foreclosure and non-Judicial foreclosure both approaches are used. In Oklahoma state foreclosure timeline ranges up to 90 days. Oklahoma foreclosure law gives endorsement to deed of trust and mortgage as primary security instruments. Oklahoma foreclosure law does not authorize the statutory right of redemption. However deficiency judgments are allowed by Oklahoma Foreclosure law but vary in term and conditions.

By way of non-judicial or judicial foreclosure process lenders in the state of Oklahoma may foreclose on deeds of trusts or mortgages in default occurs.

Judicial Foreclosure
The judicial foreclosure process necessitates the filing of a lawsuit by lender to obtain a court order to foreclose on a particular property. The property is auctioned off to the uppermost bidder condition the Court orders to foreclose. The judicial foreclosure process is mostly practiced when mortgage or deed of trust holds the clause “No power of sale”.

Judicial Foreclosure Procedure
Property must be upraised before the foreclose sale, and will be sell at not less than two-third of the upraised value at auction. Borrower can’t redeem after confirmation of foreclose sale.
The lender has the opportunity of seeking deficiency judgment. After sale lender has 90 days to sue for deficiency judgment.

Non-judicial foreclosure
In case homeowner defaults non-judicial foreclosure process allows the lender to sell the property to close balance of the loan. Non-judicial foreclosure method is favored when “power of sale clause” exists in the deed of trust or mortgage document. A “power of sale clause” in a deed of trust or mortgage means that in case of default borrower has pre-authorized the sale of property to pay off the balance on a loan. The power to sell may be concluded by the lender or their representative in conditions where a power of sale exists. The modus operandi for this Non-Judicial Foreclosure is elucidated in the “Power of Sale Foreclosure Procedure” listed below:

Power of Sale Foreclosure Procedure
If the power of sale clause states the time, place, and terms of sale then the procedure must be followed according to the specifications. And in case Power of sale clause has no specification regarding time, place and terms of sale than it will be carried out in following way:
•    It’s obligatory for lender to furnish notice of intent for sale along with the description of default to the borrower.
•    As per notice there will be (35) days for the borrower to cure the foreclose sale. The foreclosure sale can stop if borrower cures the default by paying owed amount with in (35) days.
•    If borrower commits (3) consecutive defaults, then there will be no need to send intent to sale notice, in any case if borrower has defaulted (4) time consecutively then there will no need to send any further notice.
•    It is required to record the notice in the country where property is located after passing the (35) days of cure. Said notice must be recorded with in ten dyas in the country where property is located.
•    Notice must be published in a newspaper of general circulation at least one time in a week for four (4) consecutive weeks, the last notice being published not less than ten (10) days prior to the date of the sale.
•     Any one may bid at auction; highest bidder will qualify the sale.
•    Borrower has no right of redemption after the confirmation of sale.
•    Here in Oklahoma state lender forfeit their right of deficiency if they has homestead property