Missouri Foreclosure is Non-Judicial.
Petition to foreclose in Missouri.
During a Missouri foreclosure, all mortgagees of real estate or persons holding security interests in personal estate, including leasehold interests, when the debt or damages secured amount to fifty dollars or more, may file a petition in the office of the circuit court against the mortgagor or the debtor and the actual tenants or occupiers of the real estate, or persons in possession of personal property, setting forth the substance of the mortgage deed or security agreement, and praying that judgment may be rendered for the debt or damages, and that the equity of redemption may be foreclosed, and the mortgaged property or collateral sold to satisfy the amount due.
Where filed If any part of the property be real estate, the petition may be filed in any county where any part of the mortgaged premises is situated; if it be exclusively personal estate, it may be filed and proceeded with as in other civil actions.
Mortgages and Security Agreements with Power of Sale.
All mortgages of real property or security agreements providing for a security interest in personal property, or both, with powers of sale in the mortgagee or secured party, and all sales made by such mortgagee, secured party or his personal representatives, in pursuance of the provisions of the mortgages or security agreements, shall be valid and binding by the laws of this state upon the mortgagors and debtors, and all persons claiming under them, and shall forever foreclose all right and equity of redemption of the property so sold. Nothing herein shall be construed to affect in any way the rights of a tenant to the growing and unharvested crops on lands foreclosed as aforesaid, to the extent of the interest of the tenant under the terms of contract or lease between the tenant and the mortgagor or his personal representatives.
Missouri Foreclosure Notice of Sale
Missouri foreclosure law states that all sales of real estate under a power of sale contained in any mortgage or deed of trust executed after August 28, 1989, shall be made in the county where the land to be sold is situated, and not less than twenty days’ notice of such sale shall be given, whether so provided in such mortgage or deed of trust or not. Where the property to be sold is located in more than one county, the property may be sold in any county where a part of the property is located.
The notice shall set forth the date and book and page of the record of such mortgages or deeds of trust, the grantors, the time, terms and place of sale, and a description of the property to be sold, and shall be given by advertisement, inserted for at least twenty times, and continued to the day of the sale, in some daily newspaper, in counties having cities of fifty thousand inhabitants or more, and in all other counties such notice shall be given by advertisement in some weekly newspaper published in such county for four successive issues, the last insertion to be not more than one week prior to the day of sale, or in some daily, tri-weekly or semi-weekly paper published in such county at least once a week for four successive weeks. Such notice shall appear on the same day of each week, the last insertion to be not more than one week prior to the day of sale, and if there be no newspaper published in such county or city, such notice shall be published in the nearest newspaper thereto in this state. Nothing in this section shall be construed to authorize the giving of any shorter notice than that required by such mortgage or deed of trust. Where the property to be sold lies wholly or in part within the corporate limits of any city having or that may hereafter have a population of fifty thousand inhabitants or more, then the notice provided for in this section shall be published in a daily newspaper in such city and where the property to be sold lies wholly or in part within the corporate limits of a city extending into two or more counties, then the notice provided for in this section shall be published in some newspaper published in the county in which the property lies, in the manner provided in this section for publication in such county, even though such property may lie in a city having a population of fifty thousand inhabitants or more. Where the property to be sold is located in more than one county, the notices required in this section shall be published in each county in which a part of the property is located. Other provisions of this section to the contrary notwithstanding, in any county of the first class not having a charter form of government and containing a portion of a city with a population over three hundred fifty thousand and in any county of the second class containing a portion of a city with a population over three hundred fifty thousand, the notice requirements and this section may be met by advertisement in some weekly newspaper published in such counties for four successive issues, the last insertion to be not more than one week prior to the date of the Missouri foreclosure sale.
Any person desiring a Missouri foreclosure notice of sale under any deed of trust or mortgage with power of sale upon real property may, at any time subsequent to recordation of such deed of trust or mortgage, cause to be filed for record in the office of the recorder of each county in which any part or parcel of the real property is situated a duly acknowledged request for such notice of sale. This request shall specify the name and address of the person to whom the notice is to be mailed and shall identify the deed of trust or mortgage by stating the names of the parties thereto and the legal description of the land described therein and the book and page where the same is recorded or the recorder’s number and shall be in substantially the following form:
“In accordance with RSMo, 443.325, request is hereby made that notice of sale under the deed of trust (or mortgage) recorded the …. day of …., 20.., (as recorder’s number …. or in Book …., Page ….) of the records of …. County, Missouri, the legal description of the property being …. in County, Missouri, executed by …. as Grantor (or Mortgagor) in which …. is named as beneficiary (or Mortgagee) and …. as Trustee, be mailed to …. (Name) at …., (Address) ……….., (City)…., (State)….
1. A separate request shall be filed for each person desiring notice of sale.
2. Upon the filing for record of such request, the recorder shall index the request in a separate index so that the name of the mortgagor or grantor shall be indexed as the grantor, and the name of the requesting party shall be indexed as the grantee.
3. In the event of Missouri foreclosure under a power of sale, the foreclosing mortgagee or trustee shall, not less than twenty days prior to the scheduled date of the sale, cause to be deposited in the United States mail an envelope certified or registered, and with postage prepaid, enclosing a notice containing the information required in the published notice of sale addressed:
(1) To each person whose name and address is set forth in any such request recorded at least forty days prior to the scheduled date of sale; and
(2) To the person shown by the records in the office of the recorder of deeds to be the owner of the property as of forty days prior to the scheduled date of foreclosure sale at the foreclosing mortgagee’s last known address for said record owner; and
(3) To the mortgagor or grantor named in the deed of trust or mortgage at the foreclosing mortgagee’s last known address for said mortgagor or grantor.
(4) Actual receipt by the addressee of the envelope referred to above shall not be necessary to establish compliance with the notice requirements of subsection 3 hereof. Recording of receipt issued by the United States Post Office for certified or registered mail to evidence that said envelope has been delivered by the sender to the United States Post Office shall constitute proof of compliance with notice requirements of subsection 3 hereof.
4. The foreclosing mortgagee* or trustee of a deed of trust or mortgage filed subsequent to a deed of trust or mortgage for which a request has been recorded in accordance with subsection 1 hereof shall give notice to each person named in each such request so long as the prior deed of trust or mortgage identified in such notice has not been released of record.
5. The release of a deed of trust or mortgage shall cancel of record all requests for notice which pertain to the deed of trust or mortgage identified in such request.
Missouri Foreclosure Time of Sale
According to Missouri foreclosure laws, the trustee exercising a power of sale granted in any security instrument may in the trustee’s discretion set the time for sale at any commercially reasonable time, unless the security instrument specifies an hour at which the sale is to occur. The time for sale will be deemed to be commercially reasonable if the sale is held between the hours of 9:00 a.m. and 5:00 p.m. on the date of sale. If no time is stated in the notice of sale, then the sale shall be held at the time customary for such sales in the county. If the trustee elects to state a specific time for sale in the notice of sale, then the sale shall be held at the time stated in the notice unless the sale is continued as may be otherwise provided by law.
Redemption before Missouri Foreclosure Sale
If such property is redeemed by payment to the officer before the sale, such officer shall make a certificate of such redemption, and acknowledge the same before some officer authorized to take acknowledgments of deeds for lands; and such certificate shall be recorded in the office in which the security instrument is recorded, and shall have the same effect as if a deed of release has been filed for record.
Foreclosures by Trustee’s Sale
Deeds of trust in the nature of mortgages of lands may, in addition to being foreclosable by suit, be also foreclosed by trustee’s sale at the option of the holder of the debt or obligation thereby secured and the mortgaged property sold by the trustee or his successor in the same manner and in all respects as in case of mortgages with power of sale; and all real estate which may be sold under any such power of sale in a mortgage deed of trust hereafter made and which at such sale shall be brought in by the holder of such debt or obligation or by any other person for such holder shall be subject to redemption by the grantor in such mortgage deed of trust or his heirs, devisees, executors, administrators, grantees or assigns at any time within one year from the date of the sale; provided, however, that such person so entitled to redeem shall give written notice at the sale or within ten days before the date advertised for the sale to the person making or who is to make the sale of the purpose to redeem if the sale and purchase are so made; and provided further, the said grantor, his representatives, grantees or assigns to make the redemption shall within the year pay the debt and interest or other obligation secured by such deed of trust and to accrue thereon together with all sums paid out by any holder thereof or purchaser at such sale or holder of the rights of such purchaser for interest and principal and either of any prior encumbrances, and for taxes and assessments and all legal charges and costs of the sale.
Missouri Foreclosure Redemption Period
No party shall have the right of redeeming from any such sale unless he shall have given the written notice specified in said section and shall within twenty days after such sale give security to the satisfaction of the circuit court of the county in which the land is located for the payment of the interest on the debt or obligation secured by the mortgage deed of trust under which the Missouri foreclosure sale is made to accrue within such year after the sale is made, and for the payment in full of the legal charges and costs of the sale, and for the payment of all interest accrued prior to the sale or thereafter which the purchaser at the sale or his representatives or assigns may pay on any prior encumbrance on the land, as well as the interest which may accrue thereon during such year allowed for redemption whether so paid or not and all taxes and assessments and interest and costs thereon whether general or special accrued or accruing during such year allowed for redemption and whether paid by the purchaser at the sale or not together with interest at rate of six percent per annum on all sums so paid by the purchaser or those claiming under him and for damages for all waste committed or suffered by the party giving such security or those claiming under him during such year unless said property is so redeemed, and it shall be necessary to pay for such redemption all such sums to which the purchaser or those claiming under him should be entitled with interest as aforesaid. Said security shall be by bond executed by the person or persons so entitled to redeem with at least one good surety in a sum amply sufficient to cover the aggregate of all said sums exclusive of the principal debt or obligation, but including damages and interest, to be so absolutely paid in event redemption is not made and the aggregate of all such shall be the measure of damages to be paid in satisfaction of said bond if such redemption is not made.
Certificate of Missouri Foreclosure Sale
If the bond is given and approved the trustee at the purchaser’s request shall execute, acknowledge and deliver to him a certificate of sale or purchase giving a reference to the deed of trust, fact of sale and purchase. And if redemption is not made within the year as so provided he shall thereupon execute to the purchaser or his heirs or devisees good and sufficient deed of conveyance upon the presentation of such certificate or showing of reason for its non-production to the satisfaction of the trustee. The rights, interests and estates of any of the parties may be conveyed by deed as interests in land are conveyed and trustee’s deed may be made to the original purchaser and shall inure to his grantees. If the certificate of Missouri foreclosure sale or any conveyance of the purchaser’s interest is recorded the purchaser and his grantee shall give a sufficient recordable acknowledgment of redemption if the same be made. Any prematurely executed trustee’s deed shall operate as a certificate of sale by the trustee, and if the trustee dies, becomes incapable or cannot be found the court may summarily and on ex parte application of the purchaser appoint a successor or commissioner to execute a good and sufficient conveyance in completion of the trustee’s sale if redemption be not made within the year provided. Both the certificate of sale and purchase and deed and the recitals therein shall each be prima facie evidence of the recitals therein.
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