What legal document typically initiates the foreclosure process?

The Notice of Default (NOD) is a critical legal document that typically initiates the foreclosure process. It serves as an official notification to the borrower that they are in default on their mortgage payments. This document outlines the specifics of the default, including the amount owed and any necessary actions the borrower must take to remedy the situation, such as paying the overdue amount. The issuance of a Notice of Default is a key step in the foreclosure timeline, as it alerts the borrower that the lender may pursue legal action to reclaim the property if the debt is not resolved.

While other documents mentioned may relate to the foreclosure process, they do not serve the foundational purpose that the Notice of Default does. The Decree of Foreclosure, for example, is a judicial order that concludes the foreclosure process rather than initiates it. A Mediation Agreement might be part of an attempt to resolve the issues without entering foreclosure but is not a formal part of the foreclosure initiating process itself. A Statement of Account provides details of the borrower’s account, but it does not trigger foreclosure proceedings nor addresses any defaults. Thus, the Notice of Default is essential for marking the beginning of the legal process leading to foreclosure.