Definition, Meaning & Synonyms
foreclosure
noun
/fɔːrˈkloʊʒər/
Definition
The legal process by which a lender takes possession of a property when the borrower fails to make mortgage payments.
Examples
- The foreclosure of the house left the family searching for a new place to live.
- After several missed payments, the bank initiated foreclosure proceedings.
- Foreclosure can significantly impact a homeowner’s credit score.
Meaning
Foreclosure occurs when a homeowner is unable to meet their mortgage obligations, leading the lender to reclaim the property and sell it to recover the amount owed.
Synonyms
- repossession
- seizure
- takeover
