Which type of foreclosure does not require a lawsuit in Georgia?

In Georgia, non-judicial foreclosure is the process that does not require a lawsuit to foreclose on a property. This type of foreclosure is carried out under the power of sale clause that is typically included in the mortgage documents. Essentially, if the borrower defaults on the loan, the lender can proceed with sale without having to go through the court system.

The non-judicial foreclosure process allows lenders to expedite the foreclosure process, making it quicker and often less expensive than a judicial foreclosure which requires court involvement. In non-judicial foreclosure, the lender must follow certain procedural requirements, such as providing the borrower with notice and a reasonable amount of time to rectify the default, but no formal lawsuit is necessary.

This is in contrast to judicial foreclosure, which involves a lawsuit to obtain a court order for the sale of the property. Bankruptcy foreclosure is not a recognized term in this context as bankruptcy proceedings involve different legal processes for resolving debts and may include the potential for a homeowner to keep their property. Mandatory foreclosure is not a recognized legal term related to the foreclosure process in Georgia.

Overall, understanding the non-judicial foreclosure process is crucial for community association managers, as it can significantly impact how associations handle delinquent assessments and property management.