What is equity of redemption?

Equity of redemption is a borrower's right under equity law to satisfy the full mortgage debt and recover the property at any time before the foreclosure sale is confirmed by the court. This right exists independently of statute and arises from the equitable principle that a debtor should not lose property simply due to default if they can pay what they owe.

In South Carolina foreclosures, equity of redemption functions as a critical safeguard. A borrower retains this right from the moment of default through the period before the foreclosure sale is finalized. Once the sale confirmation order is entered, the right is extinguished. This differs from statutory redemption, which in some states allows a borrower to reclaim property for a fixed period after the sale has already occurred.

The practical importance of equity of redemption is that it preserves the borrower's ability to stop foreclosure by curing the default. If a borrower can gather resources, secure a loan, or negotiate a settlement before the sale confirmation, they can exercise this right to keep the property. Lenders typically cannot ignore a tender of full payment made during this window.

Foreclosure defense attorneys often work to extend this period, negotiate with lenders during it, or ensure clients understand when this right will be lost.