In Idaho, lenders may foreclose on
deeds of trusts in default using the non-judicial foreclosure process.
Non-Judicial Foreclosure
The non-judicial process of foreclosure is used when a power of sale
clause exists in a mortgage or deed of trust. A "power of sale" clause
is the clause in a deed of trust or mortgage, in which the borrower
pre-authorizes the sale of property to pay off the balance on a loan
in the event of the their default. In deeds of trust or mortgages where
a power of sale exists, the power given to the lender to sell the property
may be executed by the lender or their representative, typically referred
to as the trustee. Regulations for this type of foreclosure process
are outlined below in the "Power of Sale Foreclosure Guidelines".
- Power
of Sale Foreclosure Guidelines
- If the deed of trust or mortgage contains a
power of sale clause and specifies the time, place and terms of sale,
then the specified procedure must be followed. Otherwise, the non-judicial
power of sale foreclosure is carried out as follows:
- The notice of sale must be recorded in the
county where the property is located and given to the borrower and
the occupants of the property (if not the borrower) at least one
hundred twenty (120) days before the date of the sale.
The notice must be published in the newspapers in the county where
the property is located at least once a week for four (4) consecutive
weeks. The final ad must be run not less than thirty (30) days in
advance of the foreclosure. The published notice must contact a
legal description of the property, its street address and the name
and phone number of someone who can give directions.
Said notice must describe the nature of the default, a legal description
of the property, as well its street address, the lender's name,
the date, time, and place of the sale, and the name and phone number
of the person conducting the sale.
- The foreclosure sale must take place on the
date, at the time and at the place specified in the notice. However,
the sale may be postponed and held at a new time and place, so long
as it is within thirty (30) days of the originally scheduled sale.
If the property consists of more than
twenty (20) acres, the buyer has a period of one (1) year to redeem
said property. If it is less than twenty (20) acres, the period of time
is lessened to six months.
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