What is a redemption period?

A redemption period is a set amount of time after a foreclosure in which the homeowner may buy back the property. In Virginia, the redemption period is 6 months. To redeem the property, the homeowner must pay the full amount of the foreclosure sale, plus interest and court costs. This is known as the redemption amount. If the homeowner does not redeem the property within the redemption period, it is considered lost and the foreclosure sale is finalized. The buyer at the foreclosure auction is then granted possession of the property. The redemption period is beneficial to homeowners because it gives them a chance to get back their home and avoid eviction. It is also beneficial to foreclosing lenders, because if the homeowner redeems the property, the lender receives the full redemption amount. When a homeowner is unable to redeem the property within the six-month redemption period, they may still be able to make other arrangements with the new owner of the property. This could include renting the home or entering into a payment plan with the new owner. It is important for homeowners to contact an attorney if they are unable to redeem the property during the redemption period.

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