How Foreclosures Work

foreclosureIt’s a sad fact, but many Americans lose their homes to foreclosure every year. The Home Affordable Foreclosure Alternatives Program (HAFA) is an alternative solution for homeowners who are interested in a short sale or deed-in-lieu to avoid foreclosure. Foreclosure—A lawsuit where a lender-mortgage holder can collect on an unpaid note and take a debtor- homeowner’s house for non-payment of the mortgage debt.

The sale of a foreclosed home could involve a public sale held by an auction, where the highest bidder can buy the property. The foreclosure notice is also posted at the courthouse and filed with the county clerk. So they take out a mortgage loan, which is a contract for purchase money that will be paid back over time.

If there are no buyers, the lender may buy the property by submitting a credit bid based on the amount owed on the mortgage. Notice of sale must be delivered to you at least 10 days before the day of the sale. All Sales will be held on the date specified at 12:00 Noon on the Courthouse steps.foreclosure

State laws on giving notice and scheduling a foreclosure sale vary. The legal process by which a lender acquires possession of the property securing a mortgage loan when the borrower defaults. Sales are usually conducted weekdays at 10 a.m. and 11 a.m. at the Civil Process Unit.

After acceleration of the mortgage, you may cure the default by paying the entire balance of all the principle, interest and costs due on the mortgage, but only if you do so before the Sheriff sells the property at the Sheriff’s Sale. Both a short sale and deed-in-lieu of foreclosure may result in you still owing money to the lender or can have serious tax consequences.