Hawaii Foreclosure Laws

The Foreclosure Proceedings in Hawaii

The important documents needed for such judicial and non judicial foreclosure proceedings are the deed of trust and mortgages. The judicial and non judicial processes give leeway for Deficiency Judgments but not for Right of Redemption. For a judicial foreclosure it is the lender's responsibility to file a property foreclosure lawsuit. Once the foreclosure lawsuit is filed and the necessary procedures are carried out, the court officially declares a date of foreclosure auction. During the property foreclosure auction the foreclosure property is sold to the person who places the highest bid.

The inclusion of a "Power of Sale" clause in the security instruments calls for a non-judicial foreclosures. Under this clause, the signing of the security instruments binds the borrower to agreeing for sale of the property in case he doesn't meet payment terms as agreed upon. The only fact that differentiates a judicial foreclosure from a non-judicial foreclosure is the role played by the court. While a court order is essential for a judicial foreclosure it is not needed for a non judicial foreclosure.

The Power of Sale Clause

In case the security instruments involved in a property foreclosure contain a power of sale clause then the terms and conditions laid down by the clause should be strictly adhered to by the lender and the borrower. However, when there is no such clause involved and the property foreclosure is subject to a non judicial process then notices play an important part.

The Notice of Intent to Sell should be released on a public platform like a county newspaper. This notice should appear in the newspaper once a week for three continuous weeks. The last publication of the notice should date back to at least two weeks before the date of the foreclosure auction. Copies of the Notice of Intent to Sell must be reached to all relevant persons like the borrower, the state or county authorities and any other concerned person. The law requires this notice to be posted on the actual property premises at least three weeks prior to the foreclosure auction.

The notice must contain details like time and place of the auction, the outstanding balance on the distressed property, the address and legal description of the distressed property and names of the borrower and the lender. Other details regarding the actual sale must also be mentioned.

Foreclosures in Hawaii Top Cities

• Kihei
• Kailua Kona
• Lahaina
• Honolulu
• Kapolei
• Kahului
• Pahoa
• Hilo
• Kapaa
• Waianae
• Makawao
• Waikoloa