What are my legal rights in Missouri during a foreclosure?

Chapter 443.327 Missouri Revised Statutes allow a homeowner who is facing the foreclosure process specific legal rights. These rights include specific notifications, deadlines that a lender must adhere to and specific redemption rights.  Legal rights include:

Notification rights

When a lender intends to foreclose on a homeowner in Missouri, they must meet specific notification requirements. There are specific deadlines that must be closely adhered to including:

Population dependent - if the home to be foreclosed is located in an area where there are more than fifty-thousand (50,000) residents, the notification for a foreclosure sale must be published a minimum of twenty (20) times including on the day of the sale.  For smaller areas, the notification must be run for four (4) consecutive weeks. The sale notification for smaller areas must be published at least one time in the week before the foreclosure auction;

Notification by mail - lenders who are intending to sell a property via foreclosure auction must notify the home owner plus any junior lien holders within twenty (20) days of the sale via certified mail. The notice must include specific information regarding the property as well as the date and time of the auction. The notification must also include specific information regarding the terms of the sale. All notifications must be made via certified or registered mail;

Redemption rights

Once a property has been sold at auction, the homeowner has specific redemption rights which must be honored by the lender.  These rights include the option to post bond in the amount of the arrears and fees required to regain the title to the property.  Homeowners do have to make this notification in writing within twenty (20) days after the property sale.  In the event that the lender elects to use the judicial foreclosure process, homeowner's may exercise these rights for one year.

Rights after redemption period

Lenders are not able to sue a homeowner for a deficiency judgment. Once a foreclosure auction takes place, the lender agrees to accept the amount of the sale price as full satisfaction of the loan.  No deficiency judgment is allowed under Missouri foreclosure statutes.

Contacting a foreclosure professional

Missouri homeowners have numerous rights that are available to them. In many cases, lenders will not advise a homeowner of these rights. Contacting qualified legal counsel can ensure that the rights of the homeowner in a foreclosure process are properly exercised.