12 U.S.C. § 3764: Record of foreclosure and sale

Summary

The foreclosure commissioner must put into the deed or attach an affidavit a statement that lists six things: the date, time, and place of the sale; who held the mortgage and where it was recorded; how the notice of default and sale was served (under sections 3758 and 3760); when and where the notice was filed; that the sale followed the chapter and the notice; and the sale amount. Those statements will count in Federal or State court as initial proof of those facts and will be final proof for good-faith buyers and lenders who paid without notice. An "encumbrancer for value" means a lender who gives purchase money and takes a security interest. The county recorder must accept the deed, the affidavit, and any related papers for recording when the normal recording fees are paid, even if they do not meet other local filing rules.

Title 12, §3764

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(a)Statements included

To establish a sufficient record of foreclosure and sale, the foreclosure commissioner shall include in the recitals of the deed to the purchaser, or prepare as an affidavit or addendum to the deed, a statement setting forth—

(1)the date, time, and place of the foreclosure sale;

(2)that the mortgage was held by the Secretary, the date of the mortgage, the office in which the mortgage was recorded, and the liber number and folio or other appropriate description of the recordation of the mortgage;

(3)the particulars of the foreclosure commissioner’s service of the notice of default and foreclosure sale in accordance with section 3758 and 3760 of this title;

(4)the date and place of filing the notice of default and foreclosure sale;

(5)that the foreclosure was conducted in accordance with the provisions of this chapter and with the terms of the notice of default and foreclosure sale; and

(6)the sale amount.

(b)Effect of statements

The items set forth in subsection (a) shall—

(1)be prima facie evidence of the truth of such facts in any Federal or State court; and

(2)evidence a conclusive presumption in favor of bona fide purchasers and encumbrancers for value without notice.

Encumbrancers for value include liens placed by lenders who provide the purchaser with purchase money in exchange for a security interest in the newly-conveyed property.

(c)Recordation of instruments

The deed executed by the foreclosure commissioner, the foreclosure commissioner’s affidavit (if prepared) and any other instruments submitted for recordation in relation to the foreclosure of the security property under this chapter shall be accepted for recordation by the registrar of deeds or other appropriate official of the county or counties in which the security property is located upon tendering of payment of the usual recording fees for such instruments, and without regard to the compliance of those instruments with any other local filing requirements.

Editorial Notes

Codification Section is based on section 815 of title VIII of S. 2281, One Hundred Third Congress, as reported July 13, 1994, which was enacted into law by Pub. L. 103–327.

§3764 Record of Foreclosure and Sale

Summary

Title 12, §3764

Notes & Related Subsidiaries

Editorial Notes

Citations & Metadata