Maria purchases a home in Charleston, West Virginia, and signs a deed of trust to secure her mortgage loan. The bank is listed as the beneficiary on the deed of trust. Several years later, Maria defaults on the loan. Which party is legally authorized to conduct the foreclosure sale under West Virginia law?
Correct Answer
C) The trustee named in the deed of trust, conducting a non-judicial sale
West Virginia uses a non-judicial foreclosure process under the Deed of Trust Act (W. Va. Code §§ 38-1-1 et seq.). When a borrower defaults, the trustee — not the lender, not a court, and not the sheriff — is authorized to conduct the foreclosure sale. The trustee must provide proper statutory notice and then conduct the trustee sale without court involvement. This is one of WV's most distinctive financing features.
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Related Topics & Key Terms
Key Terms:
Related Concepts
A conventional loan is a mortgage that is not insured or guaranteed by a government agency such as the FHA, VA, or USDA. It is originated and funded by private lenders and may be conforming or non-conforming.
The debt-to-income ratio (DTI) compares a borrower's monthly debt obligations to their gross monthly income. It is used by lenders to determine how much mortgage a borrower can afford.
In the context of foreclosure, a deed transfers ownership of the foreclosed property to the new owner, typically the buyer at a foreclosure sale.
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