Georgia Foreclosure Process Timeline

Most homeowners understand the basic steps in a foreclosure process, such as foreclosure beginning with missed mortgage payments and potentially ending in a foreclosure auction. However, the exact timeline of the foreclosure process can be difficult to understand, especially because it can vary from state to state and from lender to lender. That’s why we have made this quick and easy guide to Georgia’s foreclosure process, from the first missed mortgage payment to the foreclosure auction. This article is designed to give Georgia homeowners an approximation of the foreclosure process timeline so they can consider options such as load modification, government aid, or selling their house in order to get ahead of potential foreclosure.

One thing to keep in mind while you are learning about foreclosure in Georgia is that Georgia’s process is non-judicial. This means that foreclosure is handled completely outside of court and can be much more fast-paced than in other states. If you are in danger of missing on mortgage payment or have already missed payments, it’s important that you are proactive. You will want to quickly learn about Georgia’s foreclosure process, open a clear line of communication with your lender, consult legal help if necessary, and learn about the different options available in Georgia.

Days 1 – 120: Pre-foreclosure

Pre-foreclosure is a period of at least 120 days following the first missed payment. Federal law requires that lenders wait for these 120 days before beginning the official foreclosure process. During this time, the lender will likely reach out by phone or mail in order to recover missed payments and inform the borrower about grace periods or late fees that were agreed upon in the original loan agreement. If the borrower is still delinquent on payments at the end of the pre-foreclosure period, then Georgia’s official foreclosure process will begin.

Because these 120 days comprise the longest period in the foreclosure process, and because this period is not technically an official part of the procedure, this is the best time for you to consider your options if you don’t think you will be able to resolve your default and continue making regular mortgage payments.

Day 121 – Notice of intent to foreclose

If the borrower remains delinquent on their payments, the Georgia foreclosure process can officially and legally begin 120 days following the first missed payment. The process must begin with the lender sending the borrower a notice of intent to foreclose. This official document must be delivered at least 30 days in advance of the proposed foreclosure sale, and it must include the contact information of any individual or entity who will be able to refinance or modify the loan in order to resolve the existing default and prevent further delinquency. The notice may also include a 10-day letter concerning attorney fees that the borrower will be responsible for unless they resolve their default within that timeline.

If you reach this point in the foreclosure process, make sure that you read your lender’s notices very carefully. You will want to take note of how much money you owe and any important dates, such as a reinstatement deadline, which may be included in your original loan agreement. This period gives borrowers the chance to resolve their default and continue making regular payments under the same agreement. However, keep in mind that Georgia does not require a right to reinstate, so you will need to review your loan agreement to see if you have that right and, if so, what the deadline is for reinstatement.

Days 121 – 151: Publication of notice to sale

Something else that may be included with the lender’s notice of intent to foreclose is a copy of the foreclosure advertisement. Georgia requires that lenders publicly advertise the foreclosure sale in the official newspaper of the county where the property is located. This advertisement must run at least once a week for four consecutive weeks before the foreclosure sale can legally take place.

If either the notice of intent to foreclose or the foreclosure sale advertisement are not completed according to Georgia’s foreclosure notice standards, then the borrower may have the right to contest the foreclosure.

Day 152: Foreclosure sale

If the borrower remains delinquent on payments at this point in Georgia’s process, the lender will likely move forward with the foreclosure sale. Most foreclosure sales in Georgia are auctions that are held at the county courthouse or sheriff’s office on the first Tuesday of each month. These auctions are open to all bidders, including the lender, who will often put in a credit bid equaling the borrower’s loan deficit. The deed of the property will be sold to the highest bidder after they pay with cash or a cash equivalent.

Day 153 – : Deficiency judgement and possible eviction

Even after the foreclosure auction is complete, there may still be more steps remaining in Georgia’s foreclosure process. For example, if the previous homeowner refuses to vacate the home, the new homeowner may serve them with an eviction notice, launching a new legal procedure. Additionally, if the property sold at the auction for less than the borrower owed on it, this leaves a deficiency balance that the borrower still owes to their lender. Georgia law allows the lender to seek a deficiency judgement against the borrower to settle this remaining balance, and this process must be completed within the 30 days following the foreclosure sale.

Summary

Though Georgia’s foreclosure process may seem confusing and overwhelming if you are facing it, Georgia’s procedures are generally fast, simple, and generally applicable to most foreclosures. Understanding this process and the timeline ahead of you is the best way to evaluate your own situation as a homeowner and the best option for you to avoid foreclosure on your Georgia property.

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