In Georgia, the primary method of deed of trust foreclosure is non-judicial. However, if a deed of trust does not contain the Power of sale language or a standard mortgage is used, the lender may seek judicial foreclosure.
As few as 60 days may pass from the time a property owner receives a notice of default until the property is sold at a public foreclosure auction sale. Accordingly, don't wait until the property becomes Real Estate Owned (REO) after the auction because the property will cost more than it would in preforeclosure.
A deficiency judgment is available to a lender if a property in foreclosure is sold at a public foreclosure auction sale for less than the loan amount that the underlying mortgage secures. In fact, a lender must seek a deficiency judgment within 30 days after a confirmed foreclosure sale.
Case in point, several states allow a homeowner/borrower to reclaim his or her property through right of redemption. Post-foreclosure right of redemption, however, does not currently exist in Georgia.
As is often the case, the best time to purchase property in Georgia is during the preforeclosure period. Most properties are bought during this time, which is the reason foreclosure.com offers its subscribers the nation's largest and most accurate preforeclosure listing inventory on the Internet.
Many Georgia properties are bought at public foreclosure auction sales, but the competition may be strong and the prices are higher than during preforeclosure to cover the lender's legal costs. At this point, it is unlikely that the homeowner will be able to avoid foreclosure. Therefore, the property will be auctioned to the highest bidder, including the lender.