Ohio foreclosure law

Ohio allows lenders to foreclose on mortgages in default using the judicial (in court) foreclosure process. Only mortgage contracts, not deeds of trust, are considered primary security instruments. A typical Ohio foreclosure lasts about 150 days, or five months.

In an Ohio judicial foreclosure, the lender files a lawsuit against the borrower in a court with jurisdiction over the county where the home is located. If the default is confirmed, the court decrees the total amount of the debt and gives the borrower a short time frame for settling it. If the borrower fails to meet the deadline, the foreclosure is declared and the property is advertised for sale.

Before the sale, however, the property’s value must be appraised by three impartial (disinterested) freeholders in the county. The appraisal is then filed with the clerk of court, and the home is put up for sale for at least two-thirds of this value. A Notice of Sale is then published in a newspaper circulated in the county, at least once a week for three successive weeks before the sale date.

If the borrower has not cured the default by this time, the sale will be conducted at the county courthouse by the sheriff. The home will be sold to the highest bidder, who will then be given a certificate of sale. The sale becomes final when the borrower’s Right of Redemption has elapsed and the court confirms the sale. Lenders can also seek a deficiency judgment, or file an additional suit after the foreclosure if the sale is not enough to cover the delinquent amount.

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