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How long and what is the Foreclosure process?
When the mortgage is 90 – 120 days past due, the foreclosure process starts and
the lender files their N.O.D. (Notice of Default). From the day that the N.O.D.
is filed, the borrower has 90 days to resolve the foreclosure process. After 90
days if the foreclosure has not been resolved, the borrower will be served with
a Trustee Sale. At that point, the borrower has 21-24 days before the home is
auctioned off to the highest bidder.
How much will the Foreclosure cost me?
All past due mortgage payments must be repaid back to the lender, along with
accrued interest and foreclosure fee’s. These foreclosure and attorney fees can
and will quickly reduce your equity you have in the property. Fees can be as
high as $2000 a month in addition to any past due amounts owed.
How do I stop my Foreclosure?
The only way to stop the foreclosure process is to payoff or reinstate the past
due amount to the lender. This can be done by refinancing the current 1st
mortgage, if you have a 2nd mortgage combining the 2 mortgages into a new 1st
mortgage or the easiest and most affordable method; taking a Home Equity Line Of
Credit (HELOC) out against the property and reinstating the lender that’s in
default. The often misconception of stopping the foreclosure process is thought
to refinance and replace your first mortgage with a new one even if you only
need a little cash out. Don’t feel that you have made a mistake by wanting to do
so; it is the most common thing that homeowners in this current situation think
of doing, you just aren’t informed as to what your other options are. Click
here to see
some disadvantages of refinancing your 1st mortgage with a new one to stop the
foreclosure process.
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