If you’re behind on your mortgage payments and live in Alaska, keep an eye on your mailbox or you might not even be aware that your home is in foreclosure. In Alaska, most foreclosures occur outside of the court system, with a third party called a "trustee" handling the entire process.
Although the trustee is required to publish a public foreclosure sale notice, in most cases, the only notice that the homeowner gets personally is a mailing.
When Foreclosure Can Begin in Alaska
After you stop making your mortgage payments, the servicer must take specific legal steps in a process called "foreclosure" before selling the property to pay off your mortgage debt. In some states, the foreclosure process takes just a few months. In the past, this meant that the homeowner didn't have much time to bounce back from financial setbacks, like an injury or job loss, before losing the house.
In 2014, however, a federal law went into effect that gives owners more time to work out a way to avoid foreclosure. The law forces the lender to wait, in most cases, until the loan is more than 120 days overdue before beginning the state foreclosure process.
After the loan is delinquent for over 120 days, the lender can proceed with a foreclosure under state law. (12 C.F.R. § 1024.41 (2025).)
What Is the Foreclosure Process in Alaska?
In Alaska, a lender can choose between a judicial or nonjudicial foreclosure. Most lenders prefer to use the faster, less expensive nonjudicial process because it doesn’t require the foreclosure to go through the court and get approval from a judge.
Here is a brief rundown of how both types work, with more details on the nonjudicial process (the more popular option) below.
Judicial Foreclosure Process
Judicial foreclosures begin when the lender initiates a lawsuit in court. If the homeowner doesn’t respond to the lawsuit by filing an answer, the lender usually automatically wins and receives a default judgment.
On the other hand, if the homeowner decides to challenge the foreclosure, the case moves into litigation. The court then reviews the evidence and decides the case. If the lender prevails, the judge will enter a judgment against the homeowner.
The judgment is the legal document that gives the lender the right to sell the home at a foreclosure sale.
Nonjudicial Foreclosure Process
Nonjudicial foreclosures do not go through the court. Instead, the lender takes various out-of-court steps described in the state's laws (discussed further below). After completing those steps, the lender sells the property at a foreclosure sale.
Steps in the Nonjudicial Foreclosure Procedures in Alaska
In an Alaska nonjudicial foreclosure, a third party (called a trustee) administers the foreclosure.
Notice of Default
The trustee begins the foreclosure by recording a document called a notice of default in the appropriate recording district no less than 30 days after the borrower defaults and not less than 90 days before the sale. The trustee then mails a copy of the notice of default to the borrower within ten days after recording it. The trustee could choose to hand-deliver a copy of the notice of default to the borrower within 20 days after recording it, but in most cases, the notice is sent through the mail. (Alaska Stat. § 34.20.070 (2025).)
Notice of the Foreclosure Sale
The trustee must post a sale notice in three public places at least 30 days before the sale, publish the notice of sale in a newspaper for four weeks, and publish the notice on a website at least 45 days before the sale date. (Alaska Stat. § 09.35.140 (2025).)
Options Available for Alaska Borrowers During Foreclosure
In most cases, Alaska law allows the homeowner to stop a nonjudicial foreclosure sale by "reinstating" the loan (bringing the account current) at any time before the date of the sale. If, however, the trustee filed two or more previous notices of default, and you reinstated each time, the trustee can refuse to let you reinstate again.
Or you might qualify for an alternative to foreclosure after applying for a loss mitigation option.
Does Alaska Allow Deficiency Judgments After Foreclosure?
When a home sells at a foreclosure sale, but the sale price isn't sufficient to cover the outstanding debt, the difference is called a "deficiency." In some states, and under certain circumstances, the lender can get a personal judgment against the borrower for the deficiency amount.
If the creditor obtains a judgment, it can collect the amount through a bank levy (taking money out of a bank account), a wage garnishment (deducting funds from your paycheck), or some other collection technique.
Deficiency Judgment Laws in Alaska
Alaska law, fortunately, doesn’t allow a lender to get a deficiency judgment against a foreclosed homeowner after a nonjudicial foreclosure. But if a lender forecloses judicially, it can ask the court for a deficiency judgment.
Does Alaska Have a Right of Redemption After a Foreclosure Sale?
Some states have a law that allows a foreclosed homeowner to redeem the home after a foreclosure sale by paying the new owner the amount paid for the property at the sale or, in some cases, paying off the full amount of the mortgage debt.
In Alaska, however, you can't redeem the home after a nonjudicial foreclosure unless the deed of trust (the loan contract you signed when you took out the loan) provides a right of redemption. Most deeds of trust in Alaska don't give the homeowner the right to redeem after the foreclosure sale.
Getting Help With an Alaska Foreclosure
You can find Alaska’s foreclosure laws in the Alaska Statutes, sections 34.20.070 to 34.20.100. Statutes change, so checking them is always a good idea. How courts and agencies interpret and apply the law can also change. And some rules can even vary within a state. These are just some of the reasons to consider consulting an attorney.
If you're unsure whether your lender followed all of Alaska’s foreclosure laws, you should contact a local attorney.