The right of redemption is a legal principle that allows a borrower to reclaim their foreclosed property by paying off the full amount of the debt, including any accrued interest and fees, within a specified period after the foreclosure sale or judgment.
Notes:
In most states, there are two types of redemption:
- Statutory Right of Redemption: This right is established by state law. It allows the borrower a defined timeframe (often ranging from a few months to a year) to redeem the property after the foreclosure sale.
- Equitable Right of Redemption: This right allows the borrower to redeem the property before the foreclosure sale by paying off the outstanding mortgage balance and any related costs.
