For homeowners facing foreclosure in Utah, the following is a summary of the state’s foreclosure laws:
Foreclosures in Utah can be judicial, meaning the bank must file a lawsuit in court in order to foreclose.
Foreclosures in Utah can also be nonjudicial but a court must confirm the sale.
Utah law requires three foreclosure notices:
- Before the bank or mortgage servicer can initiate the foreclosure process, it must send the homeowner a notice of intent to file a notice of default. The notice must include, information about who the homeowner can contact to find out about obtaining a mortgage modification or other foreclosure relief, and provide 30 days to pay the amount due to cure the default and avoid the filing of a notice of default.
- To initiate the foreclosure process, the trustee must record a notice of default in the county recorder’s office at least three months before giving a notice of sale. The trustee will then send a copy of the notice of default to the homeowner within ten days after the recording date.
- The bank or trustee will send a copy of the notice of sale to the homeowner at least 20 days before the sale if the deed of trust includes a request for notice, as well as publish the notice in a local newspaper and post the notice on the property at least 20 days before the foreclosure sale.
Utah Foreclosure Protections
Utah law provides protections in accordance with the federal Service Members Civil Relief Act.
Utah law also provides protections to national guard members serving full-time with a recognized military unit called into service by the governor for at least 30 days.
Reinstatement and Redemption
In Utah, there is a three-month reinstatement period after the bank or trustee records the notice of default.
In Utah, foreclosed homeowners are not allowed to redeem the home after a nonjudicial foreclosure.
In Utah, the bank can request a deficiency judgment following a nonjudicial foreclosure if it files a lawsuit within three months after the foreclosure sale.
In Utah, if the homeowner does not leave the home after a foreclosure sale, the buyer must give the foreclosed homeowner a notice to leave before initiating the eviction process. For information regarding how to avoid foreclosure in Utah, visit HUD.gov.