Foreclosure

respres, CC BY 2.0 , via Wikimedia Commons

Foreclosure is the legal process used by lenders to seize or repossess real estate secure property in order to satisfy defaulting debts. Lenders obtain security interests from a borrowers who pledge, or mortgage an asset such as a house to secure a loan. When a borrower defaults on the loan and the lender tries to repossess the property, courts can grant the borrower the equitable right of redemption if the borrower repays the debt.

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