Redemption Process

Who can file an Intent to Redeem?

The only parties legally allowed to file and Intent to Redeem are junior lien holders as defined in 38-38-100.3 (11). Please consult your legal advisor for advice on any lien you may have.

How long is the redemption period?

Junior lien holders who have filed and Intent to Redeem will be advised of their redemption periods by the Public Trustee's office. Intents to Redeem are prioritized in order of recordation. The most senior lien holder may redeem 15 to 19 business days after the sale but no later than noon of the final day. Subsequent lien holders each have five business days after the senior lienor's period but must redeem by noon of the final day. If you have any questions concerning the rights of an entity, please consult your legal advisor.

Intents to Redeem by a junior lien holder must be filed with the Public Trustee eight (8) business days after the sale.

What is a Redemption Amount?

A redemption amount is the amount necessary to pay off the Deed of Trust in default.
The Public Trustee's foreclosure files do not contain these figures unless an Intent to Redeem has been filed. The figures are requested and received from the foreclosing attorney for the lender or the overbidder at the time of the sale.

Owner Redemption

There is no redemption period for the homeowner after the sale for 2008 recorded Notice of Election and Demands.

NOTE: How a foreclosure is processed is affected by when the Notice of Election and Demand was recorded by the Jefferson County Clerk & Recorder to start the foreclosure action. For files where the Notice of Election and Demand was recorded prior to 01/01/2008 speak to a member of the Public Trustee staff for further details.

Junior Lien Holder Redemption

In order to exercise their right of redemption, junior lien holders must properly file an Intent to Redeem with the Public Trustee eight (8) business days after the sale. A lienor Intent to Redeem form may be purchased from the Bradford Publishing Company (form#979) or an establishment that sells legal documents. When filing the intent, the lienor must include, the original or a certified copy of the lien and any recorded assignments of the lien. The fee to file a lienor intent is $50.00.

Junior lien holders who have filed an Intent to Redeem will be advised of their redemption period by the Public Trustee's office. Intents to Redeem are prioritized in order of recordation. The most senior lien holder may redeem 15 to 19 business days after the sale but no later than noon of the final day. Subsequent lien holders each have five business days after the senior lienor's period but must redeem by noon of the final day.

If the last day of a redemption period is a business day which is a legal holiday or a day the county courthouse is closed, the period is extended to the next business day.

Certificate of Purchase

The successful bidder who is requested to provide redemption figures can click on the following link for assistance in preparing the necessary statement. Redemption figures (pdf) If this office is unable to reach you or you do not provide figures in the legal time, we will calculate figures. You will be asked to provide paid receipts to the Public Trustee's office as evidence of your payment of allowable expenses.

Certificate of Redemption

A Certificate of Redemption is executed by the Public Trustee and recorded in the Jefferson County Real Estate records after a redemption.

A Public Tustee's Deed is issued is when all redemption periods are over transferring title.

Note: For foreclosures files under foreclosure law changes EFFECTIVE January 1, 2010, there is an additional provision to the 2008 law. The Deed can be issued nine (9) business days after the sale if no Intent to Redeem has been filed.

Overbid

If an overbid has occurred at the sale, you may be eligible for overbid funds after all redemption periods have expired. Overbid funds are disbursed as follows:
1. To the foreclosing lender to the extent of any deficiency bid.
2. Next to junior lienors whose lien was of record when the Notice of Election and Demand was recorded, who filed a Notice of Intent to Redeem, and whose lien has not yet been redeemed.
3. Finally to the property owner as of the recording of the Notice of Election and Demand.
Note: A holder or lienor who accepts a ?short? redemption prior to the end of all applicable redemption periods shall not be entitled to any excess proceeds.
Unclaimed excess proceeds with be held for Five (5) years then turned over to Jefferson county for unclaimed property.

What's Next?

Go on to the next stage of the foreclosure process by selecting it from the timeline or by clicking this Foreclosure Process link.

Last Modified: Jan 6, 2011 10:04 AM