1. Redemption/Reinstatement Period: The lender or the lender's attorney contacts the borrower and gives a deadline (by phone and/or in writing)-- known as a cure date -- by which all missed loan payments must be paid back in full in order to avoid foreclosure.
2. Notice of Default or "Election to Sell": If the cure date comes and goes without the borrower doing anything about it, the lender posts a notice of default.
3. Notice of Trustee's Sale: Is the date the property will be foreclosed upon, and sold at a public action by a trustee that will represent the lender.
4. Redemption period. Time frame to cure the delinquent payments after the default notice has been posted
5. Foreclosure: If the borrower does not cure the delinquent payments after the default notice has been posted, the lender exercises his rights under the trust deed he holds and forecloses on the mortgage, taking possession of the house.
5. Sale: The lender sells the foreclosed home at public auction. This can take place within 30 to 120 days depending on state law.
6. Eviction: Varies from state to state, but generally, if the borrower or renters are still living in the house after the sale of the foreclosed home, any remaining occupants will receive some type of legal notice to leave.
A borrower that is facing foreclosure should understand and analyze various anti-foreclosure and loan modification options. Pursue the anti foreclosure technique that most benefits the borrowers family. Avoidance of a foreclosure, not only saves the credit rating, but losing a home to foreclosure is one of the most terrifying experiences a family can go through.
K. Patrice Williams has a BA in Economics as well as a law degree. She has successfully managed both residential and commercial multi-million dollar income producing assets and budgets for more than 10 years. Patrice has researched and personally implemented almost all of the pre-foreclosure techniques detailed in the book: "6 Simple Steps to Avoid Foreclosure"
www.avoidforeclosuremanual.com
Click the XML Icon Above to Receive Ebooks Articles Via RSS!
