New Hampshire Laws

New Hampshire foreclosures tend to be conducted through non-judicial proceedings, although judicial foreclosures are available in the case of title problems or mortgages without a Power of Sale clause. This clause enables a lender to pursue a foreclosure in the event of default without first holding a court hearing. If a judicial foreclosure is needed and granted by a court, it follows the process of "strict foreclosure", wherein the lender repossesses the homeowner's property and gives the homeowner a short time to pay the default. If they do not pay, the lender may then sell the property at auction.

To begin a non-judicial foreclosure, the lender issues a Notice of Default to the homeowner, informing them of the amount owed and the lender's intent to foreclose unless payment of the default is provided within 30 days. If this time period expires without payment, the lender then schedules a foreclosure sale in order to reclaim the debt. The homeowner can avoid the sale and retain possession of their property by paying off the default amount at any time before the sale occurs.

Before a sale, a Notice of sale must be published in a local newspaper for three weeks. The homeowner must also receive a copy of the Notice at least 26 days before the sale.

The foreclosure sale occurs at the site of the property facing foreclosure, and the property is auctioned off to the public by the lender's attorney or a licensed auctioneer. The opening bid is set at 70-85 percent of the property's market value. The winning bidder at the auction must provide payment before receiving the rights to ownership.

Non-judicial foreclosures do not allow the homeowner any rights to redemption. In the case of judicial foreclosures, the court may set a time for the homeowner to redeem ownership of their property.

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