Disclaimer: This article provides general information and does not constitute legal advice.
Detailed Answer
Utah allows both judicial and nonjudicial foreclosures. In most cases, foreclosures on deeds of trust follow the nonjudicial procedure under Utah Code §57-1a-217. After a sale, the trustee distributes sale proceeds in order of priority: senior liens, sale costs, and then any remaining balance (surplus) goes to junior lienholders and then the former owner.
1. Review the Trustee’s Final Accounting
By Utah Code §57-1a-217, the trustee must send a final accounting to all interested parties. The accounting lists the sale price, costs, lien payoffs, and any surplus. Request this report directly from the trustee or the beneficiary’s office.
2. Consult the District Court Clerk (Judicial Sales)
For judicial foreclosures, the court handles surplus funds. Under Utah Code §78B-6-811, the court clerk holds any funds exceeding the judgment payoff. Contact the district court clerk’s office where the sale occurred. You can review the case file or search online through the Utah Courts public access portal.
3. Search County Records and Public Listings
Many Utah counties publish surplus-fund listings on the county treasurer’s or clerk’s website. Search for “surplus funds” or visit in person to request a surplus-fund report for the property’s parcel number.
4. File a Claim Within the Deadline
To recover surplus funds, file a written claim with the trustee (nonjudicial) or file a motion for release of funds with the court (judicial) within one year of the sale. Utah Code §57-1a-217(3) requires nonjudicial claims within one year; judicial claims generally follow Rule 67 of the Utah Rules of Civil Procedure.
Helpful Hints
- Save the Notice of Trustee Sale and all sale confirmations.
- Verify contact details for the trustee or court clerk early.
- Act quickly: deadlines for filing claims are strict.
- Prepare proof of your interest: lien documents or ownership records.
- Keep copies of all correspondence and filings for your records.