Help With Foreclosure Postponement

New online tool can help homeowners with foreclosure postponement

Minnesota is one of the only states in the country where struggling homeowners have the ability to legally postpone their foreclosure sale (Sheriff's Sale).  Minnesota state law has allowed homeowners the right to delay their foreclosure sale on their home by five months (11 months in certain rural/agricultural areas) since mid-2009. 

However, knowing the steps to take and how to fill out the legal documents necessary to postpone the sale has been an obstacle for many Minnesota homeowners.  That changes today with the announcement that the Minnesota Legal Services Coalition, Southern Minnesota Regional Legal Services and the Minnesota Home Ownership Center have partnered on the creation of a free online tool that assists homeowners with the process.

How does it work?
The Foreclosure Postponement Tool, here, asks homeowners a series of simple questions, then automatically fills out the legal form they need, known as the "Foreclosure Sale Postponement Affidavit." Along with their finished form, users also receive a set of simple, yet detailed instructions on how to file the form properly. Once the form has been filed and the proper parties have been notified, the postponement takes effect.  If you choose not to set up a username, the system will NOT save any personally identifying information... so you can be assured of confidentiality.

Should I postpone?
Before deciding to delay or postpone a Foreclosure Sale, homeowners should consult with a non-profit housing counselor that specializes in foreclosure prevention to understand the pros and cons of a postponement.  To find your local foreclosure counselor, click here.

Make the Most of the Extra Time
After you've submitted the necessary documentation, and your sale has been postponed, what happens next?


Homeowners should start by finding a free, non-profit foreclosure counselor - while always staying wary of scams. Some web sites offer to "save your home" by charging premium prices for services that are available for free.  To mitigate this problem, the Foreclosure Postponement Tool encourages users to contact the Minnesota Home Ownership Center. The Center offers referrals to reputable non-profit counselors via the Homeownership Advisors Network.


Try it out!  www.LawHelpMN.org/ForeclosurePostponement

Foreclosure Postponement Video

Effective 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.

Postponing the Foreclosure Sale gives homeowners five more months to bring their mortgage current. The tradeoff - is that it also reduces the redemption period to five weeks. (Standard MN redemption period for a foreclosure by advertisement is 6 months).

Previously, the Center had created a fact sheet and affidavit to assist homeowners that might be interested in postponing their Foreclosure Sale.

Now the Center has created a video (available on our YouTube Channel here), that helps homeowners understand the Foreclosure law, the steps to take and other important aspects of foreclosure postponement in Minnesota:

Click here to view video on our YouTube Channel if embedded video is unavailable.

Foreclosure Sale Postponement Info in Spanish

In order to postpone the foreclosure sale of their property, Minnesota state law requires that homeowners complete several steps. The first step in the process is to completely fill out an "Affidavit of Postponement".

This can be a confusing, if not impossible, undertaking for non-English speakers.

To assist Spanish-speaking homeowners that might be interested in postponing their foreclosure sale, the MN Home Ownership Center has created a "Cheat-Sheet" that helps explain the information the Affidavit is requesting.

Information about foreclosure postponement in Minnesota can be found here (in English) and here (in Spanish).

To see the new Affidavit description sheet in Spanish (The 'Cheat-Sheet')... click here.

Before deciding to postpone a Foreclosure Sale, homeowners are encouraged to 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.

Foreclosure Forum with Congressman Keith Ellison

Monday night October 5th, the Minnesota Home Ownership Center and its network of foreclosure prevention counselors were invited to participate in a public forum hosted by Representative Keith Ellison entitled "The Foreclosure Crisis: Identifying Problems and Sharing Solutions" that was held in Minneapolis.

The first hour of the forum included a resource fair where dozens of struggling homeowners were able to speak with the non-profit foreclosure specialists to help them determine their next steps.

During the next two hours, consumers and constituents heard from the Congressman, State Representatives, Housing Counselors and even lenders about what is being done to help struggling Minnesota families.


Here Congressman Keith Ellison introduces Cheryl Peterson from Twin Cities Habitat for Humanity and Ed Nelson from the MN Home Ownership Center:

(Click to Enlarge)

Here Ed Nelson speaks about the new Foreclosure Postponement law in Minnesota. State Representative Jeff Hayden is on the right:

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Additional photos of the event can be found on the Center's photo gallery here.

Foreclosure Postponement on Kare-11

Minnesota's foreclosure postponement law was the focus of the "Take KARE of Your Money" segment on Wednesday, September 24th on the Kare-11 news.

Cheryl Peterson from Twin Cities Habitat for Humanity - one of the Center's partners in foreclosure prevention - was interviewed for the piece.

You can view the segment, on the Kare-11 website, here.

The Center is currently working on a video Q & A segment about foreclosure postponement that will be available soon!

For additional written information about foreclosure postponement, including the steps to take to request a postponement and the required paperwork, click here.

Center updates the MN Foreclosure Process Chart

One of the most frequently downloaded documents from the Center's website is the MN Foreclosure Process timeline document. The Center has updated the information several times since the original document was created in 2008.

Once again the we've updated the "MN Foreclosure Process" document to include information on the timing homeowners can anticipate receiving a "Pre-Foreclosure Notice" as well as the window-of-opportunity homeowners have to postpone the Sheriff's Sale date under MN State law.

For a high-quality (printable) PDF of the Foreclosure Process Chart, click here.

UPDATE: The chart is also available in SPANISH. Click here.

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.