Mississippi Foreclosure Law Summary 
- Judicial Foreclosure Available: Yes
- Non-Judicial Foreclosure Available: Yes
- Primary Security Instruments: Deed of Trust,
Mortgage
- Timeline: Typically 60 days
- Right of Redemption: No
- Deficiency Judgments Allowed: No
In Mississippi, lenders may foreclose on deeds of trusts
or mortgages in default using either a judicial or non-judicial foreclosure
process.
Judicial Foreclosure
The judicial process of foreclosure, which involves filing
a lawsuit to obtain a court order to foreclose, is used when no power of sale
is present in the mortgage or deed of trust. Generally, after the court declares
a foreclosure, your home will be auctioned off to the highest bidder.
Non-Judicial Foreclosure
The non-judicial process of foreclosure is used when a power
of sale clause exists in a mortgage or deed of trust. A "power of sale" clause
is the clause in a deed of trust or mortgage, in which the borrower pre-authorizes
the sale of property to pay off the balance on a loan in the event of the
their default. In deeds of trust or mortgages where a power of sale exists,
the power given to the lender to sell the property may be executed by the
lender or their representative, typically referred to as the trustee. Regulations
for this type of foreclosure process are outlined below in the "Power of Sale
Foreclosure Guidelines".
Power of Sale Foreclosure Guidelines
If the deed of trust or mortgage contains a power of sale
clause and specifies the time, place and terms of sale, then the specified
procedure must be followed. Otherwise, the non-judicial power of sale foreclosure
is carried out as follows:
- The trustee must record a notice of sale containing,
at minimum, the borrowers name and the date, time and place of the sale
in the county where the property is located. This notice must also be posted
at the courthouse door in the county where the property is located and published
in a newspaper of general circulation in said county for a period of three
(3) consecutive weeks before the schedule date of the sale.
- The borrower may cure the default and stop the foreclosure
process at any time before the foreclosure sale by paying the delinquent
payments, plus costs and fees.
- The sale must be made at public auction for cash to the
highest bidder. The sale may be held in the county where the property is
located, or, if different, in the county where the borrower resides. In
either case, the sale must be conducted at the normal location for sheriff's
sales within the given county. Borrowers who lose their property as the
result of a non-judicial foreclosure have no rights of redemption in Mississippi.
More information on Mississippi foreclosure laws.
