Although both judicial and non-judicial foreclosures are allowed in Nevada, non-judicial (Trustee Foreclosure Sales are more common) is primary method of foreclosure. Although non-judicial foreclosure does not involve court action, notice commonly called foreclosure by advertisement is necessary. The trust deed contains a provision called a power of sale clause through which trustees can sell the property in case of default by loan borrower.

The trustees can act as a representative of the lender to carry out sale through auction. Due to non-judicial nature of foreclosure process, stringent notice requirements and the legal processes should be followed.

It is necessary that lender must serve a notice of default to the borrower providing time limit of at least 35 days to repay defaulted amount. This notice should be sent by certified mail. The defaulting borrower can clear unpaid dues after receiving the notice till 15 days prior to the sale. The foreclosure process would stop in case borrower files “an intent to cure” with the Public Trustees office within mentioned time frame.

Lender must be made a notice of foreclosure sale within 21 days of the date of the sale. Also, it should be at a time, place and manner as stated in the notice of default. Moreover, it is necessary that sale takes place in the same manner as an execution sale would occur in a judicial foreclosure.

In case of an uncontested non-judicial foreclosure, about 120 days of time is required. It might take longer in case of borrower contesting the action in court, seeking delays, postponement of sales or files for bankruptcy.

In case the deed of trust does not include the power of sale language, the lender can seek judicial foreclosure where publicly noticed sale process is followed. A complaint is filed in court by lender along with alis pendens which is a recorded document. It provides public notice that the defaulted property is being foreclosed upon.