What is another term for a forced sale in real estate?

In real estate, a forced sale refers to the involuntary sale of a property, typically because the owner is unable to meet financial obligations, such as mortgage payments, leading to a foreclosure. The term "specific performance" is used in legal contexts to compel someone to execute the terms of a contract or agreement. It means that the court orders the party to do exactly what they agreed to do in the contract, rather than just paying damages for failing to deliver on the contract.

In this case, when a property is subject to a forced sale, it may involve actions similar to those seen in a scenario of specific performance because it enforces the contract obligations of the borrower and lender, leading to the sale process. However, it is essential to note that specific performance is primarily a legal remedy, distinct from different sale types. Other terms like liquidation, wholesale, or buy-back sales refer to different concepts within real estate. Liquidation sales are about selling off assets, wholesale sales involve selling in bulk to a retailer or other entity, and buy-back sales imply repurchasing something previously sold, none of which define the essence of a forced sale.