Question

Marilyn and Edward own a property in Greater Minnesota, but have gotten behind on their mortgage payments. They've just received notice that foreclosure by advertisement proceedings will begin. Which of the following statements is most likely true?

A. Marilyn and Edward will have to vacate the property immediately upon receiving the notice.
B. Foreclosure by advertisement allows the lender to sell the property without court intervention.
C. Foreclosure by advertisement proceedings require a lengthy court trial.
D. Marilyn and Edward can continue to occupy the property without any changes.

Answer 1

The most likely true statement is that foreclosure by advertisement allows the lender to sell the property without court intervention. Homeowners can stay in the property during the foreclosure process until it is completed and sold. The correct option is B.

Step-by-step explanation:

The statement that is most likely true is that foreclosure by advertisement allows the lender to sell the property without court intervention. This process is also known as non-judicial foreclosure and is used in some states where the mortgage or deed of trust contains a power of sale clause.

In such cases, the lender can initiate the foreclosure process without filing a lawsuit or going to court. Despite the initiation of foreclosure proceedings, the homeowners, Marilyn and Edward, do not have to vacate the property immediately upon receiving the notice. They can remain in the residence during the foreclosure process until it is completed and the property is sold.

Hence, Option B is correct.