The State of Georgia allows for two types of foreclosure proceedings. One way to conduct the foreclosure proceedings is via the court, and the other is via a non-judicial proceeding. Both these foreclosure proceedings can be completed within a period of two months in Georgia State.

Typically foreclosure proceedings take place in the court when there is problem relating to the title of the property or the mortgage or when the trust deed is misses a clause allowing for an non judicial settlement. The court process is initiated when a lender files a request, in which he/she describes the situation, describes the property, and the amount needs to be paid by the buyer. Within 30-days after filing the petition, the borrower is sent a written notice that informs him/her to pay the default amount to the court. If both parties do not reach a resolution, the issue results in a foreclosure sale.

Since most of the mortgages and deeds of trust contain a clause that gives a lender the power to sell the property outside the system of the court, the non-judicial process has become more common now. The foreclosure process begins when the lenders schedules a foreclosure sale. As per the foreclosure laws in the State of Georgia, the lender doesn't have to warn the borrower about the impending foreclosure process. However, in case of trust deeds or mortgage issues, the borrower will need to be informed before initiating the process.

The borrower also has the option of stopping the foreclosure proceedings by paying the default amount in addition to other costs that may be applicable if the mortgage or trust deed allows it. Nevertheless, the borrower doesn't get the right to reinstatement automatically according to the Georgia State foreclosure laws. In any case the borrower can always exercise the last option available, which is to pay the total amount due and stop the foreclosure process.

The notice of sale is published for a period of four weeks, once each week, before the sale is due. The notice is sent to the borrower at least 15 days before the date of sale. The following information - date, time, and location of sale, property description, information on mortgage, and the names of the lender and borrower will be included in the notice.

Typically, most foreclosure sales are held at the country courthouse between 10:00 am to 4:00pm on the first Tuesday of each month. The person, who wins the bid, if someone other than the lender, will need to pay the total bid amount to the person who is in charge of conducting the sale. But if for some reason the sale is cancelled, then the foreclosure process will have to be initiated all over again.

After the foreclosure sale ordered by the court is completed, a confirmation hearing is set up and the borrower will be given the notice at least five days in advance of the hearing. A sale is only valid if the foreclosed property sale price is the lowest market value for that property. If such is not the case, then the court can order a new sale to be held.

In the State of Georgia, the borrower loses the right of redemption once the foreclosed property is sold.

If you need more information about Georgia foreclosure laws, you should contact a foreclosure lawyer, or contact us so we can recommend one for you.