Monday, June 15, 2009
Minnesota's New Foreclosure Postponement Law
Effective today, June 15, 2009 Minnesota state law allows homeowners that have fallen behind on their mortgage payments to delay, or postpone, the Foreclosure Sale (also known as the “Sheriff’s Sale” or "Sheriff's Auction") of their home by five months.
If a homeowner chooses to do so, postponing the Foreclosure Sale would give them five more months to bring their mortgage current. The tradeoff, however, is that it also reduces the redemption period to just five weeks. (Standard MN redemption period - the amount of time AFTER a Sheriff's Sale that the homeowner can remain in the property and attempt to redeem it - is 6 months).
The Minnesota Home Ownership Center has created a fact sheet and sample affidavit to assist homeowners that might be interested in postponing their Foreclosure Sale. The FAQ covers the basic steps that need to be taken in order to postpone the sale.
The FAQ about Minnesota's Foreclosure Postponement Law and sample affidavit are available here.
Here’s a disclaimer regarding this information: the FAQ is provided as a service of the Minnesota Home Ownership Center and is not presented as legal advice. Homeowners should consult a competent legal professional for advice specific to their situation before deciding if postponement is right for them.
In addition, before deciding to delay or postpone a Foreclosure Sale, homeowners should consult with a foreclosure specialist to understand the pros and cons of a postponement, and to see if there are any other resources or assistance available to them. To find their local foreclosure specialist, homeowners should click here.