Frequently asked questions
- When does the mortgage company acknowledge a seller’s home loan delinquency?
Buyer is delinquent on their mortgage payment when they are behind in their payments by at least 2 months and often after 6 months or more months. - What does it mean when a Notice of Default is recorded against a property?
When a Notice of Default (NOD) is recorded at the county recorders office it serves as a public notice that the borrower is in default.
The NOD contains an action required to cure the default and date the default must be cured.
If the default is not cured by the deadline, the lender will proceed to sell the mortgaged property at a public sale. - How do you cure a Notice of Default?
If the borrower does not “cure” the Notice of Default (NOD) by bringing the payments up to date-including late charges and foreclosure fees, the trustee then prepares and files a Notice of Sale (NOS) for the property. - What is a Notice of Sale?
The Notice of Sale (NOS) generally states the property address and legal description, a statement that the property will be sold at a public auction, and the date and time, location of the foreclosure sale. The Notice of sale is recorded in the county land records, mailed to the borrower, published in a newspaper in the county where the home is located as well as posted on the subject property. - Why should I take advantage of Foreclosure Rescue Program?
The Foreclosure Rescue program provides funding to stop the foreclosure process by paying the loan default that is due. The program is for sellers who do not have the available resources to pay the default balance themselves allowing them to retain equity of their property. The program also gives you the opportunity to capitalized on “Not” having to sell as a distressed sale and keeping more equity. - Do not fall victim to these predators
When Facing foreclosure, you should stay ahead of the process to ensure that you take advantage of whatever options that serve your best interests.
Because your foreclosure is public information, be wary of any notices that you receive. Solicitations and scams may come disguised as important documents. Research any individuals or companies who contact you to discuss your property and ensure that you know who you are talking to. Plenty of speculators prey on distressed property owners.
Alternative Solutions: - How do you avoid foreclosure and keep your home?
If you want to keep your home and cannot afford to pay the full balance owed, you can pursue alternative options with your mortgage servicer during the redemption period. You might try to refinance and obtain a new loan to pay off the delinquent mortgage or a loan modification that will make your monthly payments more manageable and /or allow you to catch up on the overdue balance at a later date. - How do you avoid foreclosure but cannot keep your home?
If you have decided that it is best to walk away from your mortgage burden, you might have the option of executing a deed in lieu of foreclosure, which signs over your rights in the property and your equity to the mortgage company. This would allow you to avoid the negative impact on your credit resulting from a foreclosure.
Another alternative is to file for bankruptcy, which will temporarily stop foreclosure proceeding. Filing for bankruptcy initiates an automatic stay (pause) on any foreclosure proceedings. It is likely that the lender will ask for the court to lift the stay, and they may be successful. Just filing bankruptcy does not relieve your responsibility to pay the mortgage, so the court usually allows the court lender to proceed with the foreclosure. A property owner should consult with a bankruptcy attorney.
