How foreclosure works in Utah

The notices you will receive in Utah, in order

1. Pre-default notice and single point of contact

   Mailed by the servicer before any notice of default is recorded (owner-occupied homes)

   It says the servicer plans to record a notice of default, itemizes the amount needed to cure, gives you at least 30 days to pay, and names a single point of contact with phone, email and mailing address. Call that contact and ask what foreclosure relief is offered.

   Utah Code § 57-1-24.3(2)

2. Notice of default

   Recorded by the trustee with the county recorder after the federal 120-day wait; a copy is mailed within 10 days

   This starts the three-month period before a sale can be noticed. It is sent by certified or registered mail, and the Utah courts warn the notice is likely still valid even if you do not pick it up. Along with it, the trustee must give you its name, address, contact hours and phone number.

   Utah Code §§ 57-1-24, 57-1-26(2), (3)

3. Written decision on your relief application

   From the single point of contact, if you applied before the three months ran out

   If you applied for foreclosure relief, the notice of sale cannot be given until the single point of contact sends you a written decision. If you are approved and sign an agreement, the servicer must cancel the notice of default.

   Utah Code § 57-1-24.3(3), (5), (6), (9)

4. Notice of trustee's sale

   Given only after the three months end; posted and mailed at least 20 days before the sale

   It is published in a newspaper at least once a week for three weeks, posted on the statewide public legal notice website for 30 days before the sale, posted on the home and at the county recorder's office, and mailed to you. It gives the date, time and courthouse where the auction will be held.

   Utah Code §§ 57-1-25, 57-1-26(2)(b), 45-1-101

5. Trustee's sale and trustee's deed

   On the sale date, between 8 a.m. and 5 p.m.; deed recorded within 5 business days after the buyer pays

   The trustee auctions the home to the highest bidder, and the lender can bid what it is owed instead of cash. The trustee's deed gives the buyer your title without any right of redemption.

   Utah Code §§ 57-1-27, 57-1-28

6. Notice to quit and eviction summons

   From the buyer after the sale, if you are still in the home

   If you stay after being served with a notice to quit, the buyer can file an unlawful detainer (eviction) case. The summons gives you only three business days from service to respond unless the court allows more time.

   Utah Code §§ 78B-6-802.5, 78B-6-807(3)

The legal steps in Utah

1. Missed payments

   Federal rules generally stop your servicer from starting foreclosure until you are more than 120 days behind. Contact your servicer early and ask what relief it offers.

   12 C.F.R. § 1024.41(f)

2. Written notice before the notice of default

   Before a notice of default is recorded on a home you live in, the servicer must name a single point of contact and send you a written notice. The notice must list the amount needed to cure and give you at least 30 days to pay it.

   Utah Code § 57-1-24.3(2)

3. Notice of default is recorded

   The trustee records a notice of default with the county recorder. The trustee must then wait at least three months before giving notice of a sale. During these three months you can cure the default or apply to the single point of contact for foreclosure relief.

   Utah Code §§ 57-1-24, 57-1-24.3(3)

4. Notice of trustee's sale

   The notice of sale is published in a newspaper once a week for three weeks, posted on the public legal notice website for 30 days before the sale, and posted on the property and at the county recorder's office at least 20 days before the sale. The Utah courts say a copy must also be mailed to you at least 20 days before the sale.

   Utah Code §§ 57-1-25, 57-1-26, 45-1-101

5. Trustee's sale

   The home is sold at public auction to the highest bidder at the time and place in the notice. The lender or servicer can postpone the sale to allow more time to work out relief.

   Utah Code §§ 57-1-24.3(8), 57-1-25, 57-1-27

6. After the sale

   If you stay after being served with a notice to quit by the buyer, you can be sued for unlawful detainer, and the buyer must go through the court to remove you. The lender has three months after the sale to sue for any shortfall.

   Utah Code §§ 78B-6-802.5, 57-1-32

Common questions in Utah