- Judicial Foreclosure Available: Yes
- Non-Judicial Foreclosure Available: No
- Primary Security Instruments: Mortgage
- Timeline: Typically 180 days
- Right of Redemption: Yes
- Deficiency Judgments Allowed: No
In Nebraska, lenders may foreclose on a mortgage in default
by using the judicial foreclosure process.
Judicial Foreclosure
Generally, in judicial foreclosure, a court decrees the
amount of the borrowers debt and gives him or her a short time to pay. If
the borrower fails to pay within that time, the clerk of the court then advertises
the property for sale.
In Nebraska, the court may order the entire property to
be sold, or just some part of it. The order of sale may be delayed for up
to nine (9) months after the judgment if the borrower files a written request
for a delay with the clerk of the court within twenty (20) days after the
judgment is rendered. Otherwise, the order commanding the sale of the mortgaged
property will be given twenty (20) days after the judgment.
The borrower has the right to cure the default at any time
while the suit is still pending by paying the delinquent amount owed on the
mortgage, as well as any interest and costs that have accrued. However, the
court may still enter a decree of foreclosure and sale, which may be enforced
if the buyer goes into default on the mortgage again in the future.
The sheriff must give public notice of the time and place
of the sale by:
1) posting the notice on the courthouse door; 2) posting the notice in at
least five other public places in the county where the property is located;
and 3) by advertising the property for sale once a week for a period of four
(4) weeks in a newspaper published in the county where the property is located.
The court must confirm the sale after it takes place and
once this is occurs, the borrower has no right of redemption.
More information
on Nebraska foreclosure laws.
