How Foreclosure Works in Nevada

Both. Nevada law gives the trustee of a deed of trust a power of sale that can be used out of court after a default (nonjudicial foreclosure). A lender can also bring a single court action to recover a debt secured by a mortgage or other lien on real estate, in which the court may order the property sold by the sheriff (judicial foreclosure).

For a residential mortgage loan, at least 30 days after the default and at least 30 days before recording a notice of default (or filing a court foreclosure), the servicer must mail the borrower a notice with an account summary, the amount needed to cure, foreclosure prevention alternatives, and contact information for HUD-approved counseling agencies. For a trustee's sale, a notice of default and election to sell must be recorded in each county where the property is located and mailed by registered or certified mail to the borrower and the record owner. For owner-occupied homes, the notice must include information about the state Foreclosure Mediation Program, a lender contact with authority to negotiate a loan modification, and at least one local HUD-approved housing counseling agency. After the waiting period, the trustee must record a notice of sale, deliver or mail it by registered or certified mail to the borrower, post it in a public place in the county for 20 days in a row, and publish it once a week for 3 consecutive weeks in a local newspaper.

For a trustee's sale: the pre-foreclosure notice must be mailed at least 30 days before the notice of default is recorded; the borrower then has 35 days after the notice of default is recorded and mailed to cure; and the notice of sale cannot be given until at least 3 months after the notice of default is recorded. The notice of sale must be posted for 20 successive days and published once a week for 3 consecutive weeks before the sale. For owner-occupied homes, a borrower who timely asks for mediation stops further steps toward a sale until mediation is completed. If a borrower submits an application for a foreclosure prevention alternative, the servicer generally may not record a notice of default or notice of sale, or hold a sale, while the application is pending.

Yes. In a trustee's sale, the borrower, the record owner, or a junior lienholder has 35 days (counted from the day after the notice of default is recorded and mailed) to make good the missed payments or performance; if the deficiency and the costs and fees of the notice are paid within that time, the loan may not be accelerated. In a court foreclosure based on missed payments, the default may be cured up to 5 business days before the court-ordered sale date by paying the past-due amount plus costs, fees and expenses, and the sale may then not occur.