State Foreclosure Laws

Summary:

Judicial foreclosure in Connecticut is a fairly complex process with two procedures available to the foreclosing lender, strict foreclosure, and foreclosure by decree of sale. The process begins when a lis pendens is recorded and a complaint for foreclosure served on the borrower at least 12 days before the complaint is filed with the court If the borrower cannot be found, multiple newspaper publications may be ordered by the court.

In strict foreclosure, there is no sale. This usually used when there is no equity in the property. The lender goes to court and proves default and title is conveyed to the lender immediately. However the court usually provides a set time for the borrower to redeem the property. If the borrower fails to do so, title becomes absolute to the lender.

The court enters a decree of sale if there is equity in the property (or if there is a federal lien), and a committee appointed to conduct the sale.  The length of the redemption period between judgment of sale and the sale date is at the discretion of the judge; Hardship cases may prolong the redemption period. Redemption is by payment of the balance due on the mortgage plus costs.

Lenders may sue to obtain a deficiency judgment for any balance due after the sale. Confirmation of the sale by the court takes at least 30 days.

Links:

• Sec. 49-1. When foreclosure a bar to further action on debt
  Law which regulates any further action on a debt that is already being foreclosed on.
  
  
• Sec. 49-14. Deficiency judgment
  Law which regulates the time when a judgment may be filed when seeking monetary compensation after the redemption period.
  
  
• Sec. 49-15. Opening of judgments of strict foreclosure
  Law which regulates the right to of the court to modify an judgment after it has been filed.
  
  
• Sec. 49-16. Foreclosure certificate. Penalty
  Law which regulates when a foreclosure becomes final after the redemption period.
  
  
• Sec. 49-27. Disposal of proceeds of sale
  Law which regulates where and how the proceeds of an auction shall be distributed.
  
  
• Sec. 49-28. When proceeds of sale will not pay in full
  Law which regulates that a judgment may be filed for the remainder of the monies owed when the proceeds of a sale are not sufficient.
  
  
• Sec. 49-31f. Application for protection from foreclosure action
  Qualifications. Court determination of eligibility. Stay of foreclosure action.
  Law which regulates the court to protect a homeowner from foreclosure for a period of time.
  
  
• Connecticut State Statutes