I lost my North Dakota home to a foreclosure sale last week though I haven’t moved out of the house yet. I’m expecting to get a large amount of money very soon and would like keep my house. Is it possible to do this in North Dakota, even though the foreclosure sale took place already?
Yes, it’s possible for you to keep the house. Under North Dakota law you get a certain amount of time to repurchase or “redeem” the home after losing it to foreclosure. (Exactly how long you’ll get to do this is explained in more detail below.) In addition, you can continue to live in the home during the redemption period.
To redeem, you would have to reimburse the purchaser (the person or entity who bought the home at the foreclosure sale) for the full price paid at the sale, plus interest.
When You Can Redeem Your Home After a North Dakota Foreclosure Sale
North Dakota foreclosures are almost always judicial, which means the lender files a lawsuit in court to foreclose your home. (Nonjudicial foreclosures are also possible in North Dakota, but only if the state holds the mortgage.) (To learn more about foreclosure laws and procedures in North Dakota, visit Nolo’s North Dakota Foreclosure Law Center.)
General right to redeem. You can redeem the home within 60 days after the sale (N.D. Cent. Code § 32-19-18, § 28-24-02, § 35-22-20).
Redemption period for agricultural properties. If the property is agricultural, you can redeem within:
- one year after the foreclosing lender files foreclosure, or
- 60 days after the sale, whichever is later (N.D. Cent. Code § 32-19-18).
If you don’t redeem the home within the allocated time frame, you won’t have another opportunity to reclaim your house this way. (Learn more general information about the right of redemption.)
How Much You'll Have to Pay to Get Your Home Back
In order to redeem, you must reimburse the purchaser for the full amount of the winning bid at the foreclosure sale, plus interest at the mortgage loan rate (N.D. Cent. Code § 32-19-18).
How to Redeem Your Home
You must pay the redemption amount directly to the purchaser or to the sheriff who made the sale (N.D. Cent. Code § 32-19-18.1).
What to Do if You and the Purchaser Disagree on the Redemption Amount
If you and the purchaser don’t agree about the amount needed to redeem, you must deposit the amount you calculate to be due with the sheriff (along with a written description of the basis for the calculation) within the redemption period. This counts as an on-time redemption, though you may eventually have to pay more if the court determines an additional amount is due (N.D. Cent. Code § 32-19-18.1).
You Can Live in the Home During the Redemption Period
Under North Dakota law, you are entitled to live in the home during the redemption period (N.D. Cent. Code § 32-19-06).
How to Find North Dakota’s Redemption Laws
To find the statutes that discuss your right to redeem the home in North Dakota, go to Title 28, Chapter 28-24; Title 32, Chapter 32-19; and Title 35, Chapter 35-22 of the North Dakota Century Code.