What is the key difference between equity right of redemption and statutory right of redemption?

The key difference between equity right of redemption and statutory right of redemption is indeed related to the timeframe surrounding a foreclosure sale. The equity right of redemption allows a borrower to reclaim their property after the foreclosure process has begun but before the actual sale takes place. This means that the property owner can pay off the amount owed on the mortgage to retain ownership before the sale occurs.

On the other hand, statutory right of redemption comes into play after the foreclosure sale has taken place. This right gives the borrower a specific period post-sale, as defined by state law, during which they can still redeem the property—typically by paying the sale price or equivalent amount. This period can vary greatly by jurisdiction, usually ranging from a few months to several years.

Thus, the distinction lies primarily in when each right can be exercised: before the sale in the case of equity right of redemption, and after the sale for statutory right of redemption. The clarity of this timeframe is crucial for individuals facing foreclosure, as it defines their options and potential actions available for retaining their property.