Texas Foreclosure Process

Texas is one of the easiest states for private lenders to foreclose in. In this guide, we’ll explain the exact process and timing for lenders to complete a foreclosure in Texas.

Most of the information below was gathered from an interview we did with Randy Newman, President of Total Lender Solutions. They provide non-judicial foreclosure services in 5 states. Visit their profile on our Service Provider Directory to learn more about their services.

Texas is a Non-Judicial Foreclosure State

Texas is a non-judicial state, which means that the foreclosure is completed by an auction sale as opposed to a court proceeding. The lender must appoint a 3rd party, the trustee, to handle the foreclosure process.

The foreclosure process in Texas could take as little as 41 days from start to finish, and not typically more than 72 days. In other states around the country which have non-judicial foreclosures, the entire process can take up to 4 months.

1 – Pre-Foreclosure Letter

The first step upon a loan payment default is for the lender, or the lender’s attorney, to send a written notice or letter to the borrower informing them that they have a minimum of 20 days to bring the loan current or pay it off. If the loan is not made current or paid off within the time given, the lender can notify the Trustee to begin the foreclosure process.

2 – Notice of Sale

Once the lender is ready to begin the foreclosure process, the Trustee will send a Notice of Sale to the Borrower by certified mail, and the notice is simultaneously filed with the county clerk. In order to prevent the sale of the property, the Borrower has 21 days, from the date the notice was mailed, to pay off the loan.

The Trustee is not required to publish the Notice of Sale in local newspapers or on websites. If there is a 2nd mortgage on the property, the Trustee is not required to notify the junior lien holder.

3 – Foreclosure Auction Sale

Texas foreclosure auctions must take place on the first Tuesday of every month. This applies to all 254 counties in the state. The monthly auction day is also known as Super Tuesday. If the first Tuesday is a holiday (New Years Day, 4th of July, etc.), the sale is held on the first Wednesday of the month.

As with most foreclosure auctions, the property will be sold to the highest bidder. The buyer must bring a certified check, payable to the Trustee, to the sale. Texas foreclosure auctions do not accept deposits or partial payments. Once the payment is received, the Trustee will immediately issue the deed to the buyer.


How to Find Foreclosure Service Providers

If you’re a lender seeking help with a foreclosure, use our website as a resource. Our Service Provider Directory has a list of companies that offer foreclosure services throughout the United States.

  1. Click Services in the main menu to access our Service Provider directory
  2. Click Lender Services
  3. Look for the Filters section, click Foreclosure
  4. View each company’s profile to learn about their program
  5. Click the green CONTACT button and reach out to the company directly

The companies listed pay us a monthly advertising fee, so there is no cost to make contact through our website. Please remind each company that you found them on PrivateLenderLink.com.

Visit the Service Provider Directory

October 21, 2021