Definition
The legal process by which a lender takes possession of a property after borrower default.
Example
Judicial foreclosure states require a court process, which typically takes considerably longer.
Related terms
- Abstract of Title
- Adverse Possession
- Affidavit of Title
- Certificate of Occupancy
- Chain of Title
- Cloud on Title
Frequently asked questions
What does Foreclosure mean in real estate?
The legal process by which a lender takes possession of a property after borrower default.
How is Foreclosure used in practice?
Judicial foreclosure states require a court process, which typically takes considerably longer.
This definition is provided for educational purposes. Legal and tax terminology can carry jurisdiction-specific meaning — confirm with a licensed professional before relying on it in a transaction.