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Summary:
| Judicial Foreclosure |
Yes, but not commonly used in Washington |
| Non-Judicial Foreclosure |
Yes |
| Security Instruments |
Deed of trust or mortgage |
| Right of Redemption |
Available only in judicial foreclosure, and very rare |
| Deficiency Judgments |
Yes, but only in judicial foreclosure |
| Time Frame |
(Unavailable) |
Judicial foreclosure is used only when there is no power of sale clause in the loan document. In this process, foreclosure must be declared by the court.
Non-judicial foreclosure is used when there is a power of sale clause in the loan document. If the power of sale clause includes the time, place, and terms of sale, then that specific procedure must be used. If it does not, then non-judicial foreclosure is carried out as follows.
- A Notice of Sale must be transmitted no less than 30 days before the date of sale by regular mail to the borrower’s attorney of record, if any, and by certified mail, return receipt requested, to the borrower at the borrower’s last known address.
The notice of sale must be published once a week for four consecutive weeks in a newspaper of general circulation, and must also be posted for at least four weeks prior to the sale in two public places, one of which must be the door of the courthouse of the county in which the property is located and where the sale is to take place. The sale may not take place less than 190 days from the date of default.
- The borrower has until 11 days prior to the sale to stop the foreclosure by paying the past due amount plus expenses, including trustee and attorney fees.
- The sale must be an auction, and held between 9:00 AM and 4:00 PM on a Friday. If Friday is a legal holiday, the sale will be held on the following business day. The successful bidder will be given a certificate of sale.
- The sale may be postponed for not more than the week following the scheduled day by giving notice at all parties and posting the notice publicly beneath the original posted notice.
- The non-judicial process does not permit suit by the lender for a deficiency balance. In judicial foreclosures, the lender may not sue for a deficiency balance if the property is found to have been abandoned for at least six months prior to the decree of foreclosure by the court.
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