Question

In title theory states, before the lender can foreclose and sell, what must they do?

a) Advertise the property
b) Make all necessary repairs
c) Have an appraisal and inspection done
d) Evict the occupants
e) File a court action to foreclose

Answer 1

In title theory states, before the lender can foreclose and sell, they must file a court action to foreclose.

Step-by-step explanation:

In title theory states, before the lender can foreclose and sell, they must file a court action to foreclose. This means that the lender must initiate a legal process in court in order to take ownership of the property and sell it to recover the outstanding loan amount. The court action will involve notifying the borrower and giving them the opportunity to defend against the foreclosure. Once the court grants the lender the right to foreclose, they can proceed with advertising the property and conducting necessary inspections.