Update: For those experiencing a financial hardship related to COVID-19, a new Alaska law suspends foreclosures until the date the governor determines that the novel coronavirus disease public health disaster emergency no longer exists, or until June 30, 2020, whichever is earlier. To get the protection, you have to provide the creditor seeking foreclosure a signed statement before June 30, 2020, sworn under penalty of perjury, that you're experiencing a financial hardship related to the COVID-19 public health disaster emergency.
If you are facing, or worried about, foreclosure in Alaska, learn about Alaska foreclosure laws and procedures so you know what to expect. For example, make sure you know about required foreclosure notices in Alaska, whether you can reinstate your mortgage before or redeem your home after an Alaska foreclosure sale, when you have to leave your home, and more.
Below you’ll find a summary of some of the key features of Alaska foreclosure law along with citations to the statutes so you can read the law yourself.
In Alaska, most foreclosures are nonjudicial. This means they happen outside of court (as opposed to judicial foreclosures, which go through the court system) and a third-party (a trustee) manages the process.
To start a foreclosure in Alaska, the trustee must record a notice of default in the appropriate recording district not less than 30 days after default and not less than 90 days before the sale. Then, the trustee must:
In addition, the trustee must:
Alaska law extends the legal protections provided under the Servicemembers Civil Relief Act to members of the Alaska National Guard and Alaska Naval Militia while on active duty for the state by order of the governor. (Alaska Stat. § 26.05.135).
“Reinstating” is when you catch up on the missed payments (plus fees and costs) in order to stop a foreclosure.
Under Alaska law, you can reinstate the loan at any time before the sale date. But if the trustee filed two or more prior notices of default and you reinstated each time, the trustee can refuse to accept a subsequent reinstatement.
In some states, you can redeem (repurchase) your home within a certain period of time after the foreclosure. In Alaska, you can't redeem after a nonjudicial foreclosure unless the deed of trust that you signed when you took out the loan specifically provides a right of redemption. (Alaska Stat. § 34.20.090). (
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.
In Alaska, deficiency judgments are not allowed following nonjudicial foreclosures. (Alaska Stat. § 34.20.100).
After an Alaska foreclosure sale, the purchaser must give you a notice to quit (vacate) before starting eviction proceedings. (Alaska Stat. § 09.45.630).
If you want to learn more about the foreclosure process in Alaska or want to find out if you have any potential defenses to a foreclosure, consider talking to a lawyer.
It’s also a good idea to make an appointment to speak to a HUD-approved housing counselor, especially if you want to learn about different loss mitigation options.