Understanding How Foreclosures Work

foreclosureLouisiana is a state where the only way a bank can foreclose is by using the courts. You see, almost ninety-nine percent (99%) of the average citizens do not have a clue about how the real money is made in the mortgage business. Foreclosure is when the lender takes back property when the homeowner fails to make payments on a mortgage. This means you will have an additional monthly payment on top of your monthly mortgage payment.

However, if the property has junior liens, the lender will not accept a deed in lieu of foreclosure because the junior liens will stay attached to the property. Many homeowners simply walk away from their homes believing they don’t have equity or can’t sell their home while it is in foreclosure.

But the first goal for homeowners is to stop the foreclosure process from running them over before they are out of options …