Foreclosures

Due to the present national economic crisis, Nevada has the highest foreclosure rate in the United States, followed by neighboring states California and Arizona.  (See http://www.realtytrac.com for more information and statistics.)  While state laws and regulations exist to govern proceedings and protect the borrower from misinformation, if you are at risk of losing your property to foreclosure, it is critically important to consult an experienced attorney.  

Types of foreclosures in Nevada

A mortgage holder can begin the foreclosure process anytime after a default on the mortgage.  While there are many different types of foreclosures, Nevada only allows the two most common foreclosure proceedings: judicial foreclosures and non-judicial foreclosures (commonly associated with foreclosure by power of sale).    
Judicial foreclosure involves filing a lawsuit to obtain a court order to foreclose on a property.  Judicial foreclosure occurs when there is no power of sale clause in the deed of trust or mortgage or if there are other paperwork problems.  Typically, the property is auctioned to the highest bidder after all interested parties have been included in the court case.  The income generated by the sale goes first to satisfy the mortgage, then to satisfy other lien holders, and lastly to the mortgagor (the property owner).
A non-judicial foreclosure occurs when there is power of sale clause in the deed or mortgage paperwork.  By signing a power of sale clause, the borrower knowingly authorizes the sale of their property to cover their loan balance when they are unable to make payments.  If they exist, specific procedures outlined in the power of sale clause must be adhered to in the event of a non-judicial foreclosure.  If the clause does not carry any stipulations, notice is served and the appropriate statutory steps are followed.  Proceeds are divided in the same fashion as the judicial foreclosure.

The attorneys at Simon & Berman help their clients deal with foreclosure proceedings by:

• Filing paperwork
• Determining if you are eligible for statutory redemption
• Determining if you should file for bankruptcy to stay foreclosure
• Assisting in court procedures
• Assisting in negotiations with lenders and other parties for short sales or property

Contact our Las Vegas office to reach our skilled, knowledgeable attorneys for foreclosure assistance from start to finish.