A Virginia buyer's agent is explaining financing to her client. The client asks, 'If I stop making payments, can the bank just take my house without going to court?' The agent correctly explains that in Virginia, this is possible because of which specific combination of features in the deed of trust?
Correct Answer
B) The trustee's holding of legal title combined with the power of sale clause
Virginia's non-judicial foreclosure is possible precisely because of the combination of two deed of trust features: (1) the trustee already holds legal title to the property, giving the trustee the legal authority to convey that title at a sale; and (2) the power of sale clause in the deed of trust contractually authorizes the trustee to sell the property upon default without court involvement. Together, these two elements make non-judicial foreclosure legally effective in Virginia.
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