Revised Foreclosure Procedure in Seattle and Washington State

By Elias DaSilva | September 12, 2024.

In Seattle and Washington State, most foreclosures are conducted out of court through a trustee sale. Because this process is not overseen by the court, trustees must strictly comply with Washington’s Deed of Trust Act when managing foreclosures.

Foreclosure Fairness Act

With the introduction of the Foreclosure Fairness Act, if a borrower misses a payment, the lender must send a “meet and confer” notice. This notice informs the borrower of their right to request an in-person meeting with the lender. If the borrower requests this meeting, the lender must delay moving to the next step of the foreclosure process for 90 days, which involves sending the notice of default. If no meeting is requested, the lender can issue the notice of default after 30 days.

Notice of Default

By law, the lender must send a notice of default to the borrower, which must also be posted on the property or delivered in person. At this stage, the lender or their attorney can request a foreclosure mediation. The mediation aims to provide the borrower with an opportunity to interact directly with the lender to discuss foreclosure alternatives and loss mitigation options such as repayment plans, special forbearances, or loan modifications. If mediation is requested, the lender cannot move to the next step (scheduling and sending the notice of trustee sale) until after the mediation. If a borrower who receives a notice of default does not request mediation, they have 30 days to “cure” the default, either by paying the past-due amount in full or reaching another agreement with the lender before the lender can proceed to send a notice of trustee sale and set a sale date for the property.

Notice of Trustee Sale

Once the trustee sale is scheduled, the borrower will receive a notice of trustee sale, indicating the sale date. This date must be at least 90 days from the date of the notice. The borrower has up to 11 days before the sale to reinstate the mortgage and stop the foreclosure by paying the overdue payments plus the associated costs. Foreclosure sales in Seattle and Washington generally take place on Fridays at 10 a.m. They are public auctions, and the property is awarded to the highest bidder, who must pay in cash. In non-judicial foreclosures, the trustee transfers the property to the auction winner, who can take possession of the property 20 days after the sale. The foreclosure sale is final, meaning the borrower cannot “redeem” the property. Although the process is swift, the new Foreclosure Fairness Act offers borrowers who have fallen behind on payments a better chance of reaching a resolution with their lender. It is crucial to contact an attorney or housing counselor immediately if you suspect you have fallen behind on a payment. Do not miss the opportunity for mediation.

Number of Foreclosures Available: 

Seattle: 150
Spokane: 75
Tacoma: 60