What is the statute of limitations on foreclosure?

In Massachusetts, the statute of limitations for a foreclosure action is six years. The statute of limitations begins to run at the time of the default, or the date when the borrower has failed to make payments on the mortgage loan. The statute of limitations is important because once this period has expired, the lender is unable to pursue a foreclosure action against the borrower. If the lender has not acted to file for foreclosure within the six-year period, the debt is wiped and the lender is unable to take any action to obtain payment. The statute of limitations is in place to protect homeowners from being taken advantage of by lenders who may file for foreclosure years after the borrower has defaulted. However, the foreclosure process can be extended due to certain events. These include the filing of a bankruptcy petition, judicial stays due to litigation, or the passing of the six-year period. In these cases, the statute of limitations for the foreclosure action will start running again from the date of the triggering event. It is important to note that while the statute of limitations outlines the maximum period a lender may take to file for foreclosure, it does not guarantee that a foreclosure will not occur. If an individual has been in default on their mortgage loan for a significant amount of time, it is important to seek the advice of a qualified attorney to best understand their rights and obligations under the law.

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What is the statute of limitations on foreclosure?

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