Foreclosure

Definition: Foreclosure is the legal process for enforcing a mortgage lien after default, potentially leading to a sale of the secured property to satisfy the debt.

Example

After an unresolved mortgage default, a lender brings a Florida court action seeking foreclosure.

Keep the distinction clear

Foreclosure is different from a voluntary deed in lieu or an approved short sale. Default does not itself instantly transfer the borrower's title to the lender.

Related terms

Default · Deed in Lieu of Foreclosure · Short Sale

Keep studying

Mortgages: Borrower, Lender, Ownership, and Key Clauses

References: Florida Statutes 697.02: nature of a mortgage · Florida Statutes 702.06: deficiency decrees

Pronunciation (US): for-KLOH-zher (capitals show stress)

Pronunciation reference: Merriam-Webster