Washington DC Foreclosure Law

Washington DC foreclosures law has validation of non-judicial foreclosure only. Judicial foreclosure has no justification in Washington DC foreclosure law. It usually takes 60 days process period in Washington DC State. Washington DC foreclosure law has hold up only on the deed of trust as primary security instruments. Washington DC foreclosure does not permit the right of redemption. Deficiency Judgments are allowed by Washington DC foreclosure law.

By means of judicial foreclosure process lenders in the state of Washington DC may foreclose on deed of trust in the status of default.

Non-Judicial Foreclosure
In case of default Washington DC foreclosure law authorizes the lender to carry out the process of non-judicial foreclosure if a power of sale clause exists in the deed of trust documents. Deed of trust containing the “Power of sale” allows the lender to sell the property in favor of paying off balance of the loan in the case borrower defaults. Lender and their representatives can sell the property bearing the deeds of trust having power of sale clause.
Rules to be followed in the non-judicial foreclosure are explained below in “power of sale foreclosure guiding principles”

Power of sale foreclosure guiding principles
If the deed of trust comprises of the “power of sale clause” which specifies the time, place and the terms of sale then the specified course of actions must be followed. If power of sale clause does not facilitate the specifications of time, place and terms of sale then non-judicial foreclosure would be followed as bellow:
•    Lender have to obtain the court orders to foreclose the sale and specifications regarding the foreclosure if has not been mentioned in the deed of trust.
•    It is must to provide the sale notice to the actual borrower at least (30) days prior to the proposed date of the sale.
•     Notice must be sent to borrower through the certified mail.
•    It is also required to send the notice to the Mayer of Washington DC or to their designated authorities.
•    Sale will be made to the highest bidder at auction.
•    Borrower has no rights to cure default by redeeming the property; however lender may file deficiency judgments for the difference between the highest bid amount and the remaining owed amount on the principle amount.