What Is Non-Judicial Foreclosure?

Non-judicial foreclosure relies on a 'power of sale' clause in the mortgage or deed of trust, allowing the lender to foreclose by following statutory notice and advertising procedures rather than filing a lawsuit.

Michigan uses foreclosure by advertisement (MCL §600.3201 and following), with the sheriff's sale held at the county courthouse after the sale is advertised. Tennessee uses a trustee's sale under TCA §35-5-101.

Because there's no court process, non-judicial foreclosure moves faster — Tennessee in particular can go from default to trustee's sale in as little as 60 days, which is why acting quickly matters most in non-judicial states.