When you default on a loan and your lender begins the foreclosure process, it may feel hopeless. However, it is always our goal as a Bellevue foreclosure attorney to make sure you have the representation you need in order to provide you with options and make the process of foreclosure and redemption simpler. Whether you are looking to buy a foreclosed home or you need help stopping your foreclosure process, our experience and our dedication is on your side.
What Is The Right Of Redemption?
After you have defaulted on your home loan, your lender has the right to begin the foreclosure process, where you will lose your house. However, you are granted a certain amount of time, called the “redemption period,” where you are able to buy back your home. This right to earn back your home is called the equitable right of redemption, and it is a legal right in every state.
This is a great benefit to the homeowner, but may be a great deficit to someone interested in investing in the foreclosed property. If you fall into either category, contact our foreclosure attorney in Bellevue and get the representation you need.
Different Ways To Redeem Your Home In Washington
Redeem Before Foreclosure Sale
This form of redemption is in place in order to give borrowers “one last chance” to earn their home back. However, the cost to redeem a home before the foreclosure sale usually will mean paying off the entirety of the debt, which includes the principal as well as interest costs and certain fees. This payment in full will stop the foreclosure process right away.
Redeem After Foreclosure Sale
This is part of a statute that Washington, along with several other states, added to the right of redemption. However, in Washington you may only redeem a home after the foreclosure sale if it was a judicial foreclosure, and because almost all foreclosures in this state are nonjudicial, it is important to not wait until it’s too late. When you redeem after foreclosure sale, you must pay off the entire purchase price in addition to interest and fees.
Who Has The Right To Redemption?
Contrary to popular belief, the right to redemption both before and after the foreclosure sale includes more than just the borrower. In fact, several people can redeem a home during the foreclosure process, including:
- Successors or assignees, if the borrower has passed away
- Judgment creditors of the borrower
- The bankruptcy trustee of the borrower
- Any person with a lien (or a claim) on the property
While all these people have a right to redeem the home, there is a strict process of who receives priority. Contact us today to learn more.
Should You Consider Redemption?
Redemption is difficult to encourage because the debt must be paid in full in order to redeem a home. However, if you want to keep the property, if you have a chance to sell the property for more than the loan amount due to rising property values, or you are able to refinance your debt, then contact your Bellevue-Seattle foreclosure attorney today and we’ll get you on the right track!