In Nevada , lenders may pursue either a Non-Judicial or Judicial Foreclosure process. The Non-Judicial process is the one that is most commonly used.

The Judicial Foreclosure process is used rarely in Nevada, and only when there is no “power of sale” clause present in the original loan documents, or if the lender is suing the borrower for a deficiency judgment. The lender must sue the borrower in court and obtain a decree of foreclosure and order of sale. The court may give the borrower up to one year to redeem the property.

The more commonly used process in Nevada is the Non-Judicial Foreclosure, which requires the original loan documents to contain a “power of sale” clause. This clause authorizes the lender to sell the property in the event of a default by the borrower. If the clause specifies the time, place, and terms of the sale, then those procedures must be adhered to.

The sale process in Nevada is begun with a notice of default and election to sell being recorded in the county in which the property is located. When it is recorded, a copy is also sent by certified mail to the borrower. The borrower then has thirty-five (35) days to cure the default and bring the loan current.

If the borrower plans to cure the default, he must file a notice of intent to cure no later than fifteen (15) days before the sale. The amount to bring the loan current is due by noon on the day before the sale date.

The entire amount of the loan may be called due in the notice of default and election to sell. This is only possible if the terms of the loan documents allow for acceleration of the loan upon default. If the borrower is able to cure the default within the thirty-five day period, then acceleration of the loan by the lender is not permitted.

The date of the sale can not be less than three months from the date the notice is recorded in the county. The notice of default and election to sell will designate the time and place of the sale. The high bidder receives a trustee's deed once the sale is completed. The lender will usually bid the amount due plus costs. If there are no higher bids on the property, the property will revert to the lender.

The borrower has no redemption period if the foreclosure was Non-Judicial. The lender has the right to sue the borrower for a deficiency judgment within three months of the date of the sale.

**The information provided on this website should not be taken as legal advice. The Ballen Group does not contain any licensed attorneys. Please consult legal advice, accounting advice, and mortgage advice from licensed & able professionals in each field.

SHORT SALE INFORMATION

WASHINGTON - Today, the U.S. Department of Housing and Urban Development (HUD) released its top 10 tips for homeowners who are facing foreclosure.

"These guidelines will assist homeowners who are struggling to pay their mortgage and could be threatened with foreclosure," said HUD Secretary Alphonso Jackson. "We want to encourage homeowners to take action and use every resource available so that they can get control of their finances and stay in their home."

If you are unable to make your mortgage payment:

1. Don't ignore the problem.

The further behind you become, the harder it will be to reinstate your loan and the more likely that you will lose your house.

2. Contact your lender as soon as you realize that you have a problem.

Lenders do not want your house. They have options to help borrowers through difficult financial times.

3. Open and respond to all mail from your lender.

The first notices you receive will offer good information about foreclosure prevention options that can help you weather financial problems. Later mail may include important notice of pending legal action. Your failure to open the mail will not be an excuse in foreclosure court.

4. Know your mortgage rights.

Find your loan documents and read them so you know what your lender may do if you can't make your payments. Learn about the foreclosure laws and timeframes in your state (as every state is different) by contacting the State Government Housing Office.

5. Understand foreclosure prevention options.

Valuable information about foreclosure prevention (also called loss mitigation) options can be found on the internet at www.fha.gov.

6. Contact a non-profit housing counselor.

The U.S. Department of Housing and Urban Development funds free or very low cost housing counseling nationwide. Housing counselors can help you understand the law and your options, organize your finances and represent you in negotiations with your lender if you need this assistance.

7. Prioritize your spending.

After healthcare, keeping your house should be your first priority. Review your finances and see where you can cut spending in order to make your mortgage payment. Look for optional expenses-cable TV, memberships, entertainment-that you can eliminate. Delay payments on credit cards and other "unsecured" debt until you have paid your mortgage.

8. Use your assets.

Do you have assets-a second car, jewelry, a whole life insurance policy-that you can sell for cash to help reinstate your loan? Can anyone in your household get an extra job to bring in additional income? Even if these efforts don't significantly increase your available cash or your income, they demonstrate to your lender that you are willing to make sacrifices to keep your home.

9. Avoid foreclosure prevention companies.

Many for-profit companies will contact you promising to negotiate a loan work out with your lender. While these may be legitimate businesses, they will charge you a hefty fee (often two or three month's mortgage payment) for information and services your lender or a HUD approved housing counselor will provide for free if you contact them. You don't need to pay fees for foreclosure prevention help-use that money to pay the mortgage instead.

10. Don't lose your house to foreclosure recovery scams!

If any firm claims they can stop your foreclosure immediately if you sign a document appointing them to act on your behalf, you may well be signing over the title to your property and becoming a renter in your own home! Never sign a legal document without reading and understanding all the terms and getting professional advice from an attorney, a HUD approved housing counselor or trusted real estate professional.

To find out more about HUD-approved housing counseling agencies and their services, please visit www.hud.gov/offices/hsg/sfh/hcc/hcs.cfm or call toll free (800) 569-4287 on weekdays between 9:00 a.m. and 5:00 p.m. Eastern Standard Time (6:00 a.m. to 2:00 p.m. Pacific Time). The same number can give you an automated referral to the three housing counseling agencies located closest to you.