There are two types of Connecticut foreclosures, one is the strict foreclosure and the other is foreclosure by sale. It is left to the judge to decide which process will be used. A normal Connecticut foreclosure process can take anywhere between 2 to 5 months depending on the process of type used.

In a Connecticut foreclosure, the process starts with the lender filing documents in the court against the borrower. The lender has to also notify the borrower as well as other lien holders 12 days prior to the return date. The return date is the date when the borrower and lien holders have to appear in court. On this date, it will be left to the court to decide the amount of debt, the market value of the Connecticut foreclosure property, the costs involved, and what type of procedure will be followed: strict foreclosure or foreclosure by sale. 

A strict foreclosure will take place when the property in question has no equity and if no sale takes place. In such a situation the borrower will have to pay the debt within a time frame mentioned by the court. If the borrower fails to pay the debt, then the lien holders will be responsible for paying off the debt. In such circumstances, the lien holders will get the ownership for the Connecticut property. If there is a situation where the lien holders are also fail to pay the debt then the ownership gets transferred automatically to the lender. The maximum timeline for the strict foreclosure is 5 months.

A foreclosure by sale in Connecticut can take place of if there is equity in excess of the amount of debt. In such a case, a public auction will be conducted and the debt will be recovered. The borrower has the power to stop the Connecticut foreclosure sale of property by paying the debt amount. The payment has to be made before the sale can take place.

In the case of Connecticut foreclosure by sale, it is in the hands of the court to establish a date for the sale of property. The normal time is 60-90 days from the day the court makes its first ruling. The court can assign an attorney who will have to publish the notice for sale and conduct the process of sale. The winning bidder has to deposit 10% of the total value of the property initially. The court has to take a decision within two weeks regarding the fact that it approves the sale or not. As long as it is not approved, the borrower will have the opportunity to redeem the property by paying off the debt amount. Once the sale is approved, the winning bidder has to pay the balance amount within 30 days from the date of approval.

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