How common is judicial foreclosure?

Judicial foreclosure is a process where the lender must go through the court system to obtain a foreclosure judgment before seizing the property. This method is particularly utilized when the mortgage does not include a power of sale clause, which would allow the lender to foreclose without going to court.

The use of judicial foreclosure is common in states that follow this legal procedure, as it provides a structured legal framework for both lenders and homeowners. It ensures that a borrower has the opportunity to contest the foreclosure in court, which can add judicial oversight to the process.

Other options present incorrect interpretations. For instance, claiming that judicial foreclosure is an outdated process overlooks its continued relevance in various states. Limiting this process to states on the west coast ignores that many other states also have judicial foreclosure laws. Finally, stating it's only used by the U.S. Supreme Court misrepresents the nature of judicial foreclosure, as it is a state-level process handled by local courts.