Tennessee Foreclosure Timeline and Laws

Tennessee Foreclosure Process and Procedure

If you default on your mortgage, your lender can institute foreclosure proceedings against you and auction your property at a foreclosure sale.

Tennessee’s preferred method of foreclosure is by non-judicial foreclosure. Lenders can also go to court for a judicial foreclosure called foreclosure by action.

Notice Requirements for Foreclosure in Tennessee

Prior to initiating a foreclosure, the trustee or other party conducting the foreclosure must give the borrower  and other lien holders at least 20 days notice before the sale and publish the notice of foreclosure sale in a newspaper of general circulation for at least 3 weeks prior to the sale. The first publication must be 20 days prior to the sale date. If no newspaper is available, the notice must be posted in at least 5 public places, including the courthouse and the property at least thirty days before the sale. The notice must contain information on the property being foreclosed upon, and provide the manner and place of sale.

Tennessee Deficiency and Anti-Deficiency Laws

The lender may obtain a deficiency judgment if the property is sold at a public sale for less than the loan amount.

Tennessee Redemption Rights

Tennessee has a very long statutory right of redemption which allows the borrower to redeem the property within 2 years after the sale.

Tennessee Assistance, Special Programs, Government Help, and Law Updates

Foreclosure Programs:

• Tennessee Foreclosure Avoidance Counseling -HUD
• The Home Affordable Mortgage Modification Program
• The Home Affordable Refinance Program
• The Home Affordable Foreclosure Alternatives Program
• FHA Secure
• Hope for Homeowners

Foreclosure Lawyer

Tennessee foreclosure laws are complex. It is recommended that you consult with a foreclosure lawyer who can advise you about options to avoid foreclosure including refinancing, reinstatement, deed in lieu, mortgage modification, short sale or bankruptcy.