A foreclosure notice from the mortgage company is a frightening piece of paper. It does not mean that the suitcases have to be packed immediately for a panic move. Over the past several years, Maryland has passed laws that will slow down the foreclosure process, so there is still time to take action and save the home.
The Foreclosure Process
It is usually a matter of many months from the first missed mortgage payment before someone is forced to move from their home; however, it is very important to realize, that as more time passes, the number of options available to the home owner decreases, so taking action sooner rather than later is best. If an attorney with experience in foreclosures is not consulted, the foreclosure will proceed as detailed below.
The Notice of Intent to Foreclose
Technically, the foreclosure process begins with the first missed mortgage payment, but usually the late payment is not reported to the credit bureaus until the payment is more than 30 days late. Mortgage companies usually begin the foreclosure process when the payments are 90 days behind.
The mortgage company will send a “Notice of Intent to Foreclose”, which is a letter that details the default, the amount due to bring the loan current, payment history and contact information for the loss mitigation department.
The foreclosure will be filed 45 days after the Notice of Intent. This will contain a great deal of information about the mortgage. The home owner will be served with a copy of all of the papers filed with the court.
After the Foreclosure Has Been Filed
The mortgage company is now required to wait 45 days after filing the foreclosure, and the homeowner has the right to ask for mediation within 25 days from the foreclosure filing; after 25 days, that right is lost. Discuss mediation with an attorney before this right expires.
The Home Will Be Auctioned
If nothing has been done, the home will be auctioned. A copy of the ad advertising the sale will be sent to the home owner. After the sale, it’s too late to save the home. There will be about three months after the sale before the home owner must be out.
Laura Margulies & Associates LLC know the ins and outs of the foreclosure process. Whether you choose bankruptcy or mediation, she can help, so visit Law-margulies.com to schedule a free consultation to discuss your legal options before it’s too late.
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