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FinancingDeeds_of_trust_as_primary_security_instrumentMEDIUM

After the Notice of Default was recorded on his Nevada property, Kevin made no payments and did not cure the default. The lender then recorded a Notice of Trustee's Sale, scheduling the sale for 25 days later. Kevin now wants to reinstate his loan by paying all overdue amounts and costs. Under NRS Chapter 107, is Kevin still entitled to reinstate the loan at this point?

Correct Answer

B) Yes, Kevin can reinstate the loan up to five business days before the scheduled trustee's sale date

Under NRS 107.080, a borrower retains the right to reinstate a defaulted deed of trust loan (by paying all overdue amounts, late charges, and foreclosure costs) up until five business days before the scheduled trustee's sale date. Since the sale is scheduled 25 days away, Kevin is still within the reinstatement window and may cure the default. However, once the sale is within five business days, the right to reinstate typically terminates.

Answer Options
A
Yes, Kevin can reinstate the loan at any time up until the moment the trustee's sale actually begins
B
Yes, Kevin can reinstate the loan up to five business days before the scheduled trustee's sale date
C
No, Kevin lost his right to reinstate once the Notice of Trustee's Sale was recorded and the sale is within five days
D
No, Kevin lost his right to reinstate once the Notice of Default was recorded, regardless of any subsequent notices

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Related Topics & Key Terms

Key Terms:

reinstatement_rightnotice_of_trustee_salefive_business_daysnrs_107foreclosure_process
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