A.S.A.P. - FAQ:
See also:
Terms/Definitions
What is a foreclosure?
It is the lender (beneficiary)'s legal remedy for nonpayment by the borrower (trustor) of an
obligation.
What is a judicial foreclosure?
A judicial foreclosure is a foreclosure through court action. This action is sometimes necessary
to remove certain tax liens.
What is a non-judicial foreclosure?
A non-judicial foreclosure is the sale by a trustee under a deed of trust, or mortgagee under
a power of sale, of a mortgage. There are no court proceedings.
What is a trustee?
A trustee is one who is appointed or required by law to execute a trust. A trustee is the
third party to a Deed of Trust whose functions are to conduct a foreclosure in the event of
a default or to issue a reconveyance in the event of a payoff.
What is a referee?
A referee is a person to whom a judge refers a case to take testimony or acquire other
evidence such as financial records and report to the court on the referee's findings. A
referee is appointed to oversee the foreclosure action, approve final judgment amount and
conduct the foreclosure sale.
What is a Master in Equity?
The Master in Equity facilitates relatively quick and inexpensive means of litigation
resolution for non-jury matters. The Master hears most foreclosure cases and a
substantial number of civil, non-jury matters as well. This is the only South Carolina
court in which no action may be initiated; each case heard by a Master is assigned by the
S.C. Circuit Court, using the procedural device known as an Order of Reference.
What does it mean when a sale is cancelled?
When a sale is cancelled by the trustee, it is taken off the calendar. This can be due
to a reinstatement or payoff of a loan.
What does it mean when a sale is adjourned?
When a sale is cancelled by the lender, the referee may adjourn the sale to a new date
within the provided period of time for that state.
What is a reinstatement?
A reinstatement occurs when a delinquent loan is brought to current status.
What is a payoff?
A payoff is the result of payment of the full balance of an existing loan or other lien.
What is a posting?
A posting is a public notification of a sale by attaching the notice of sale to a post, wall or
door in a public place.
What is required in order to bid at a foreclosure sale?
In order to bid at sales, you must have the amount of the deposit required by that state,
in certified funds, at the time of purchase. New York State requires a 10% deposit in cash or
certified funds at the time of sale. South Carolina requires a 5% deposit in cash by the end
of the sale day.
Where are foreclosure sales conducted?
All sales are conducted in the state and county where the property or some part of the
property is situated. Sales are usually conducted at the courthouse in the county where the
property is located.
What is an irrevocable bid?
An irrevocable bid is something that cannot be recanted. When bidding at a sale, every bid
shall be deemed an irrevocable offer until the sale is completed, except that a subsequent
bid by the same bidder for a higher amount shall cancel that bidder's lower bid.
To whom do I make the certified check payable?
Make checks payable to the appointed official conducting the sale. Depending on the state,
that could be referred to as the Trustee, Referee, or Master in Equity.
What is an Assessor's Parcel Number (APN)?
The APN is the number issued by the County Assessor to identify property and is used
by the County Tax Collector on the tax bill.
What is an SBL Number?
The SBL number is assigned by the County Assessor to identify the property by
its section, block, and lot.
What is an REO?
REO stands for real estate owned. It
most commonly refers to property owned by a lender from foreclosure of mortgages or trust deeds.
What is Caveat Emptor?
Caveat Emptor is Latin for "let the buyer beware." It is a legal maxim stating that
the buyer takes the risk regarding quality or condition of the item purchased.
Can I purchase a foreclosed property from the trustee prior to sale?
No, the borrower/trustor is the legal owner of the deed of trust (property) that is in
forclosure until the beneficiary's "power of sale" has been executed. The purpose of the
trustee, acting on behalf of the beneficiary, is to secure the outstanding debt or its
collateral. The legal owners of a property are still entitled to any rights to sale and/or
negotiate the sale of a property prior to the foreclosure sale commencing.