If a letter just showed up with the words “Notice of Trustee’s Sale” on it, your stomach probably dropped. I talk with homeowners in Chesterfield, Henrico and Richmond who are holding that exact letter, and the first thing most of them ask is “How much time do I really have?” This post walks through what that letter means under Virginia law, what the dates on it are telling you, and what you can still do. I’m a home buyer, not a lawyer, so I’ll point you to the official sources and to free help along the way.
First, what this letter is
Most Richmond-area homes are financed with a deed of trust. That’s why Virginia foreclosures usually happen out of court. Instead of a lawsuit, a trustee named in your deed of trust sells the house at a public auction. The Notice of Trustee’s Sale is the trustee telling you the time, date and place of that auction.
Before you get to this point, federal rules generally say the legal foreclosure process can’t start until you’re more than 120 days behind on your mortgage (CFPB). So if you’re holding a sale notice, you’ve usually already gotten earlier letters from your servicer.
Read your letter line by line
Grab the letter and a pen. Here’s what to look for.
1. The sale date, time and place
Write the sale date on your calendar and count the days from today. In Richmond, Chesterfield and Henrico, sales are usually held at or near the circuit courthouse, but your letter will say exactly where.
2. When it was mailed
Virginia law sets two different deadlines. If the house is your home, the notice has to be mailed to you by certified or registered mail “no less than 60 days prior to such sale, in the case of a deed of trust conveying owner-occupied residential real estate.” For everything else, like a rental, a vacant house or an investment property, it’s “14 days prior to such sale, in the case of all other deeds of trust” (Va. Code § 55.1-321). The 60-day rule for owner-occupied homes took effect July 1, 2021. Before that, 14 days applied to every property, which is why you’ll still hear “14 days” from people and older websites. The law also says “the foreclosure sale cannot go forward unless the trustee has proof that the notice has been sent.” If the dates look off to you, show the letter and envelope to a Virginia attorney right away.
3. Who the trustee is
It’s often a law firm acting as a “substitute trustee,” not your lender. Their name and phone number are on the letter. That’s who handles the sale itself, including any postponement.
4. The newspaper ad
The sale also has to be advertised in a newspaper with general circulation where the property is. Unless the deed of trust sets the number of ads, the trustee runs the ad once a week for four weeks, but in a city or a county next to a city (which covers Richmond, Chesterfield and Henrico), five ads on different days are enough. The sale has to happen no earlier than 8 days after the first ad and no later than 30 days after the last one. If the trustee postpones the sale, it has to be advertised again the same way (Va. Code § 55.1-322). That’s why some people see their address in the legal notices before they’ve told anyone they’re behind.
What you can still do before the sale
Every one of these options ends when the auction happens, so the date on your letter is the deadline for all of them.
- Call your servicer and ask for the reinstatement amount. That’s the total to bring the loan current, including fees. Get it in writing.
- Ask about loss mitigation. That means a repayment plan, a loan modification or a forbearance. Ask what they need from you and the deadline to send it.
- Talk to a free housing counselor. Virginia Housing lists foreclosure counseling at 877-843-2123 (toll-free) and 804-782-1986 in Richmond (Virginia Housing). If your loan is with Virginia Housing, ask about their Borrower’s Assistance Program too.
- Talk to an attorney about bankruptcy if you want to keep the house and need more time. That’s a legal decision, and it’s not one I can make for you.
- Sell the house before the sale date. If you have equity, selling lets you pay off the loan at closing and keep what’s left, instead of leaving it up to auction bidders.
Where selling fits
I’ll be straight with you. Selling isn’t always the right answer. If you can catch up or get a modification you can afford, keeping your home is usually the better outcome. Selling makes sense when the numbers just don’t work anymore, or you’re already ready to move on.
If that’s where you are, the problem with a regular listing is time. Photos, showings, a buyer’s loan approval and an appraisal can take longer than the days you have left. When I buy a house, I buy it as-is, I cover the closing costs, and you don’t pay any commissions or fees. I’ll get you an offer within 24 hours, and we can set a closing date that works with your sale date. The title company pays your lender directly at closing.
A signed contract by itself doesn’t stop a trustee’s sale. Postponing is up to the trustee. So if you’re going to sell, start early and keep the trustee and your servicer in the loop.
If you’ve been through this before, our Prince George case study shows how one sale worked out. You can also read can I sell my Richmond house in foreclosure and our avoiding foreclosure page.
What I’d do this week if I were holding that letter
- Count the days to the sale and put it on your calendar.
- Call your servicer. Get the reinstatement amount and the payoff amount in writing.
- Call a free housing counselor.
- Find out what the house is worth as-is, so you know whether you have equity to protect.
- Decide by a set date whether you’re trying to keep the house or sell it. Waiting is the one choice that takes all your options away.
We buy houses all over the area, including Chesterfield, Henrico and the City of Richmond. If you’d like a number to compare against your payoff, request a cash offer or Call (804) 293-0208. We reply within 3 hours, and there’s no obligation.
Frequently asked questions
How much notice do I get before a foreclosure sale in Virginia?
If it’s your home (owner-occupied), Virginia requires the notice to be mailed at least 60 days before the sale. A rental, vacant or other non-owner-occupied property gets at least 14 days (Va. Code § 55.1-321).
Can I sell my house after I get a Notice of Trustee’s Sale?
Yes, as long as the sale closes and your loan is paid off before the auction. A contract alone doesn’t cancel the sale, so move quickly and tell the trustee and your servicer.
Will the trustee postpone the sale if I have a buyer?
Sometimes, but it’s up to the trustee. A postponed sale has to be advertised again (Va. Code § 55.1-322). Don’t count on a postponement. Plan around the date on your letter.
What happens to money left over after the auction?
If the winning bid is more than what’s owed, there may be surplus. If it’s less, you might still owe money. A Virginia attorney can tell you what applies to your loan. Selling before the auction is how you control the price instead.
Where can I get free help in the Richmond area?
Virginia Housing lists free foreclosure counseling at 804-782-1986 (Richmond) and 877-843-2123 (toll-free) (Virginia Housing).
This article is general information, not legal advice. Talk to a Virginia attorney about your situation.