Under Tennessee's non-judicial foreclosure process governed by Tenn. Code Ann. § 35-5-101 et seq., which of the following is NOT a required step before the trustee may conduct a foreclosure sale?
Correct Answer
C) Obtaining a court order or judicial judgment authorizing the sale
Obtaining a court order is NOT required for a non-judicial foreclosure in Tennessee. The entire purpose of the non-judicial (power of sale) foreclosure process under Tenn. Code Ann. § 35-5-101 et seq. is to allow the trustee to sell the property without court involvement. The trustee derives authority from the power-of-sale clause in the deed of trust itself, not from a judicial order.
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Key Terms:
Related Concepts
Foreclosure is the legal process by which a lender takes possession of a property when a borrower fails to make mortgage payments. It allows the lender to sell the property to recover the outstanding debt.
The loan-to-value ratio (LTV) is the percentage of a property's appraised value or purchase price (whichever is lower) that is being financed through a mortgage. LTV = Loan Amount / Property Value.
A comparison of the major mortgage loan types—conventional, FHA, VA, and USDA—covering their eligibility requirements, down payment amounts, mortgage insurance rules, and best use cases.
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