Connecticut Home Foreclosure Laws
Learn about the two foreclosure processes in Connecticut, special foreclosure protections for certain homeowners, and more.
In Connecticut, home foreclosures occur by “foreclosure by sale” (basically a judicial foreclosure) or by “strict foreclosure." If you are facing a foreclosure in Connecticut, learn the difference between these two types of foreclosure processes, as well as whether the lender can get a deficiency judgment against you, whether you are eligible for any special protections against foreclosure, and more.
Below you can find many of the key aspects of Connecticut foreclosure law along with citations to the statutes below so you can read the law yourself.
How to Find Connecticut’s Foreclosure Laws
The citations to Connecticut’s foreclosure statutes are:
- Connecticut General Statutes Title 49, Sections 49-1 through 49-31v, and
- Connecticut Superior Court Rules 23-16 through 23-19.
You can find the Connecticut Statutes on the Connecticut General Assembly’s website at www.cga.ct.gov. You can find a link to the Superior Court rules on the judiciary website at www.jud.ct.gov/pb.htm. If you need help locating the statutes or court rules, see Finding Your State’s Foreclosure Laws.
Key Features of Connecticut’s Foreclosure Laws
We’ve summarized important parts of Connecticut’s foreclosure laws below. You can find more detailed articles on various aspects of Connecticut foreclosure law in Nolo’s Connecticut Foreclosure Law Center.
Most Common Type of Foreclosure Procedure in Connecticut
Connecticut foreclosures are either by sale (where the court orders the home sold and the proceeds paid to the foreclosing party to satisfy the outstanding debt) or strict foreclosure (where the court transfers title to the home directly to the foreclosing party without a foreclosure sale). Conn. Gen. Stat. § 49-24.
Notice of the Foreclosure
In both a foreclosure by sale and a strict foreclosure, the foreclosing party starts the foreclosure by filing a complaint with the court and serving it to the borrower along with a summons. (Learn more about the difference between a foreclosure summons and complaint.)
The foreclosing party must also provide notice to the homeowner about:
- Connecticut’s special foreclosure protections (Conn. Gen. Stat. § 49-31e) and
- Connecticut's foreclosure mediation program. (Connecticut's foreclosure mediation program is scheduled to terminate on June 30, 2019, or after each case that was included in the program prior to June 30, 2019, has been completed.)
Special Foreclosure Protections in Connecticut
Connecticut law provides special protections and financial assistance to certain homeowners facing foreclosure.
Protections for unemployed or underemployed homeowners. Under Connecticut law, unemployed or underemployed homeowners can apply for certain protections from foreclosure, namely restructuring the mortgage debt and postponing the foreclosure during the restructuring period. Conn. Gen. Stat. §§ 49-31f, 49-31g. (A borrower is considered “underemployed” if the borrower’s income during the 12-month period before the start of the foreclosure lawsuit was less than $50,000 and is less than 75% of the borrower’s average yearly income for the two years prior to such 12-month period. Conn. Gen. Stat. § 49-31f.)
The borrower must apply to the court for protection from foreclosure within 25 days of the summons return date. Conn. Gen. Stat. §§ 49-31e.
Assistance for homeowners facing foreclosure. Borrowers who have suffered a financial hardship due to circumstances beyond their control may apply through the Connecticut Housing Finance Authority for emergency mortgage assistance payments. Assistance is in the form of a loan secured by a fixed-rate, mortgage (which is subordinate to the first mortgage) on the homeowner’s residence. Conn. Gen. Stat. §§ 8-265cc to 8-265kk.
Reinstating the Mortgage in Connecticut
“Reinstating” is when you catch up on the defaulted mortgage's missed payments (plus fees and costs) in order to stop a foreclosure. (Learn more about reinstatement to avoid foreclosure.)
In Connecticut, the borrower does not get the right to reinstate unless the mortgage contract provides this right or the foreclosing party permits it.
Right of Redemption in Connecticut
In some states, you can redeem (repurchase) your home within a certain period of time after the foreclosure sale.
When the borrower can redeem in a foreclosure by sale. The borrower can redeem the home up until the court confirms the sale.
When the borrower can redeem in a strict foreclosure. In a strict foreclosure, the court will set a specific date, known as a Law Day, which is the last date that the borrower can redeem the home. (To get details on redemption rights in Connecticut, see Nolo’s article If I lose my home to foreclosure in Connecticut, can I get it back?)
Connecticut’s Deficiency Laws
When the total mortgage debt exceeds the foreclosure sale price, the difference is called a “deficiency.” Some states allow the lender to seek a personal judgment (called a “deficiency judgment”) against the borrower for this amount, while other states prohibit deficiency judgments with what are called anti-deficiency laws.
The foreclosing party can get a deficiency judgment against the borrower in a foreclosure by sale.However, if the property sells for less than the appraised value, the foreclosing party must credit the borrower with one-half the difference between the selling price and the appraised value. Conn Gen. Stat. § 49-28.
The foreclosing party can also get a deficiency judgment in a strict foreclosure. In a strict foreclosure, the lender may seek a deficiency judgment against the borrower within 30 days after the expiration of the redemption period (that is, 30 days after the Law Day). The deficiency judgment will be limited to the difference between the total outstanding debt and the property’s fair market value, as determined by the judge. Conn. Gen. Stat. § 49-14. (For a summary of the deficiency law in Connecticut, see Connecticut Laws on Post-Foreclosure Deficiency Judgments.)
Notice to Leave After the Foreclosure
In Connecticut, the eviction is part of the foreclosure action whether it is a foreclosure by sale or strict foreclosure. If the foreclosed homeowners do not vacate (leave) the property after the sale or the Law Day, the foreclosing party can ask the court for an order of ejectment, which allows a state marshal to remove the homeowners and their possessions from the premises. Conn Gen. Stat. §§ 49-26, 49-22.