Understanding Pre-Foreclosure in Utah: What You Need to Know

What Is Pre-Foreclosure?

Pre-foreclosure is the stage between when you first fall behind on mortgage payments and before the property is sold at a trustee’s sale. It’s a stressful time, but it also gives homeowners a chance to take action and explore alternatives.

At Home Ally, we regularly work with homeowners in pre-foreclosure. We understand how urgent these situations can be, and we provide options that help people move forward—whether that’s selling quickly, stopping the foreclosure process, or avoiding long-term credit damage.

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Key Rules & Timelines in Utah

1. Loan Delinquency

• ‍‍After missed payments, the lender must send a notice and give at least 30 days to cure.
• How Home Ally Can Help: We can step in early and help you understand your options—sometimes a quick sale avoids months of stress.

‍2. Notice of Default

• ‍‍Recorded at the County Recorder’s Office. Homeowners then have 90 days to bring the loan current.
• How Home Ally Can Help: We can make you a fair cash offer in 24 hours, giving you real options before the 90-day window closes.

‍3. Notice of Sale

• ‍‍If default isn’t cured, a sale date is set with 20+ days’ notice and published in the paper.
• How Home Ally Can Help: If you choose to sell, we can often close in as little as 7 days, before the auction happens.

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Homeowner Rights in Utah

• Right to Cure / Reinstate: You can catch up on payments before the sale.
• Right to Notice: Lenders must give specific notices at every step.
• Deficiency Protections: If the sale doesn’t cover your balance, the lender must follow strict rules to pursue a deficiency judgment.

👉 Where Home Ally fits in: Many homeowners find that even though they technically have rights, time and money are against them. That’s where a cash buyer like Home Ally can be the fastest and cleanest solution—no banks, no repairs, no waiting.

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Options Beyond Foreclosure

1. Loan Modification or Payment Plan – Work with your lender.
2. Deed in Lieu of Foreclosure – Hand the property back to the bank.
3. Bankruptcy – Temporary pause, but long-term consequences.
4. Sell to a Cash Buyer – A proven way to stop foreclosure, protect credit, and get paid quickly.

At Home Ally, we buy homes in any condition and give you the flexibility to pick your closing date. Many of our clients use this option to walk away debt-free and start fresh.

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Bottom Line

Pre-foreclosure in Utah moves quickly. From the Notice of Default, you may have as little as 90 days before the home goes to auction. Acting early gives you more options—and more control.

If you’re in this situation, know that you’re not alone. At Home Ally, we specialize in helping Utah homeowners stop foreclosure stress, protect their credit, and move forward on their own terms.