What is the initial action a lender must take to commence the foreclosure process?

The correct answer is that the initial action a lender must take to commence the foreclosure process is to record a lis pendens. A lis pendens is a legal notice that indicates there is a pending lawsuit regarding a specific property. By recording a lis pendens, the lender officially informs the public that a legal claim exists against the property, which is a crucial step in the foreclosure process. This action serves to protect the lender's interests and ensures that potential buyers or other creditors are aware of the impending legal action that could affect the property’s title.

The other options, while related to the foreclosure process, do not represent the initial action required. Notifying the borrower is a step that may take place but comes after the decision to move forward with foreclosure. Filing a lawsuit is part of the legal process that follows the recording of a lis pendens, as the lawsuit itself is filed to seek judicial approval for the foreclosure. Initiating a short sale is an alternative to foreclosure that involves selling the property for less than the outstanding mortgage balance, but it is not a step involved in the formal foreclosure process. Therefore, recording a lis pendens is the critical first action that lays the foundation for moving forward with a foreclosure.