How foreclosure works in Idaho

The notices you will receive in Idaho, in order

1. Notice of Default

   Recorded with the county recorder by the trustee or lender after the federal 120-day wait, and mailed to you

   This is the official start of an Idaho foreclosure. It names the deed of trust, says what you failed to do, and says the lender has chosen to sell the property. Write down the recording date, because your right to catch up runs for 115 days from that date.

   Idaho Code § 45-1505(3)

2. Notice Required by Idaho Law (rescue warning page)

   Attached to the notice of default, on its own page in bold type

   This page warns you about people who say they can save your home and tells you that you have 5 days to undo certain contracts made during foreclosure. It is not a bill and needs no reply, but keep it in mind if anyone offers to buy your home or take over your payments.

   Idaho Code § 45-1505(3)

3. Important Notice and Modification Request Form

   Sent with the notice of default if the home has a homeowner's property tax exemption that year and the lender is state or federally regulated

   The notice begins 'You are in danger of losing your property if you do not take action immediately' and gives the amount needed to bring the loan current. If you want a loan modification, fill out the enclosed form and send it by certified mail, return receipt requested, so the lender receives it by the date printed on the notice, which is 30 days after the notice date.

   Idaho Code § 45-1506C(1), (2)

4. Notice of Trustee's Sale

   Mailed by registered or certified mail at least 120 days before the sale date

   It lists the trustee, the lender, the property, the default, the amount owed, and the date, time and place of the auction. A copy is also posted on the property or handed to an adult living there, and it runs in a local newspaper once a week for four weeks.

   Idaho Code § 45-1506(2), (4), (5), (6)

5. Lender's written answer to your modification request

   Within 45 days after the lender receives your form

   The lender must tell you in writing whether it approves or denies your request or needs more information. If you returned the form on time, the trustee's sale cannot take place until the lender has answered on time.

   Idaho Code § 45-1506C(3)

6. Notice of a postponed or rescheduled sale

   At least 14 days before a postponed sale of a primary home; at least 30 days before a sale rescheduled after a bankruptcy or court stay

   A trustee can postpone a sale by announcing a new date at the time and place of the original sale, for no more than 30 days at a time. For a primary home with a regulated lender, the trustee must also mail you notice at least 14 days before holding the postponed sale.

   Idaho Code §§ 45-1506(8), 45-1506A

7. Trustee's Deed and a court case for possession

   After the auction; the buyer can take possession on the 10th day after the sale

   The trustee gives the buyer a trustee's deed. If you are still in the home after the 10th day, the buyer can file a complaint for possession, and you will be served with a summons and a notice of a trial date set within 12 days of the filing.

   Idaho Code §§ 45-1506(9), (11), 6-310

The legal steps in Idaho

1. You fall behind on payments

   Your servicer generally cannot start a foreclosure until you are more than 120 days behind under federal rules. Use this time to call your servicer, ask about loss mitigation, and talk with a HUD-approved housing counselor.

   12 C.F.R. § 1024.41(f)

2. Notice of default is recorded and mailed

   The trustee or lender records a notice of default with the county recorder. It says what you failed to do and that they have chosen to sell the property. A copy is mailed to you with a one-page warning about foreclosure rescue offers.

   Idaho Code § 45-1505

3. Loan modification notice and request form

   If the home has a homeowner's property tax exemption for that year and the lender is state or federally regulated, the notice of default must come with a notice of your chance to ask for a loan modification and a request form. The lender must receive your completed form by the date on the notice, which is 30 days after the notice date. Send it by certified mail, return receipt requested.

   Idaho Code § 45-1506C

4. Notice of trustee's sale

   After the notice of default is recorded, the trustee must mail you a notice of sale by registered or certified mail at least 120 days before the sale date. The notice is also posted on the property or served on an adult living there, and published in a newspaper once a week for four weeks, with the last publication at least 30 days before the sale.

   Idaho Code § 45-1506(2), (5), (6)

5. Your window to cure the default

   Within 115 days after the notice of default is recorded, you can stop the sale by paying everything that is past due, plus the costs, trustee's fees and attorney's fees the law allows. You do not have to pay the full loan balance. If you pay in time, the foreclosure must be dropped and the loan goes on as before.

   Idaho Code § 45-1506(12)

6. Trustee's sale (auction)

   The trustee sells the home to the highest bidder at the time and place in the notice, between 9:00 a.m. and 4:00 p.m. The sale can be postponed for up to 30 days at a time. The sale ends your ownership, and you have no right to buy the home back afterward.

   Idaho Code §§ 45-1506(8), 45-1508

7. Possession and eviction

   The buyer is entitled to possession on the 10th day after the sale. If you are still in the home after that, the buyer can file a fast court case to remove you. The court sets a trial within 12 days of the filing, and you must be served at least 5 days before the trial.

   Idaho Code §§ 45-1506(11), 6-310

Common questions in Idaho