Foreclosure is the legal process effected through the court system in which a mortgagee (lender—often a bank) terminates a mortgagor’s (borrower’s) interest in the real property in which the mortgagor gave the mortgagee a security interest (a lien) as collateral for the loan used to purchase the property.

Foreclosure generally occurs when a homeowner defaults and fails to make mortgage payments as required by the loan agreement (promissory note).

Foreclosure allows the lender to seize the property, remove the homeowner, and sell the home—all of which are legal remedies the mortgagor and mortgagee agreed to in the mortgage contract.

In Rhode Island, foreclosure is a legal process that allows a lender to terminate a borrower's interest in a property due to the borrower's failure to make required mortgage payments. This process is conducted through the state's court system, known as judicial foreclosure. When a homeowner defaults on their mortgage, the lender may initiate foreclosure proceedings, which involve filing a lawsuit against the borrower. If the court rules in favor of the lender, the property can be seized, the homeowner can be removed, and the property may be sold to recover the outstanding loan balance. The terms of the mortgage contract typically outline the rights and remedies available to the lender in the event of default, including the foreclosure process. It's important for homeowners facing foreclosure in Rhode Island to seek advice from an attorney to understand their rights and potential defenses.