Foreclosure Guidelines in Connecticut

Highlights:

Judicial/ Non-Judicial Foreclosure: Only Judicial Foreclosure

Right of Redemption/ Deficiency Judgment: No/ Yes

Timeline: 60 Days, Can vary depending on individual cases

Deed of Trust / Mortgage as Security Instruments: Mortgage
Judicial Foreclosure Process:

One of the Two methods are followed for Judicial Foreclosure process: Strict Foreclosure (or) Decree of Sale

If the Strict Foreclosure method is followed, the title is transferred to the lender once they prove to the court that the borrower has defaulted the loan amount due to them for the said property.

But the borrower gets a certain time within which they can pay up the dues and reclaim their property. If this time is lapsed, the property is transferred to the lender. After that, the lender has 30 days within which they need to file for a certificate of foreclosure in which they detail the foreclosure procedures, description of property and the date of transfer of title.

If the Decree of Sale method is followed, the court takes care of the foreclosure procedure by appointing three appraisers to appraise the value of the property, appointing a committee to oversee the sale of the property by establishing terms and conditions, time, date and other details regarding the sale of the property.

The lender can file for deficiency judgment if the value obtained from the highest bidder is less than the actual amount owed by the borrower. The borrower does not have any right of redemption after the sale takes place. So, they can pay up and reclaim the property before the actual sale proceedings are completed.