What is Foreclosure?
A Foreclosure is what happens when a "Borrower" fails to pay the mortgage.
More accurately, It's a formal procedure by which the "Borrower" of the property loses all ownership rights. The property is then put up for auction in a foreclosure if the owner is unable to settle the debt in full or sell it through a short sale. In the event that no buyers are found, the lending institution seizes the property.