4 Things You Must Know About Home Foreclosures

Home foreclosures refer to a legal process where a court orders your mortgage lender to sell your home to recover the mortgage debts due on that home. It is very important for you to keep in mind that your lender has the right to take your property back and sell it to recover the debt even if you have missed just one payment. However, in general, it typically happens when you have missed at least three or four payments. Following are some of the major aspects associated with the procedure that you must know about, such as what can happen and what options are available to you.

The Bank May Not Just Kick You Out Of Your Home

The worst fear people have about home foreclosures is that they think when they miss a couple of payments on their mortgage, the bank is just going to kick them out of their house. Your lender has no right to do this unless there is a court order (Eviction notice) in this regard. There is a set procedure that your lender must follow. They first need to file a foreclosure notice. They can start the eviction proceedings only after the court gives a judgment to do that.

How Long Does The Foreclosure Process Take?

First of all, it is important for you to keep in mind that the foreclosure process and the eviction process are two different things. The foreclosure process involves activities by lenders to get the court order for eviction. The eviction process includes activities by lenders as per the court order to take possession of the property.

The process for home foreclosures can be very time consuming or very quick, depending upon how aggressive your lender is and which state the property is located in. The approximate Bank Foreclosure processing time in different states is as follows –

WYOMING  3 months, WISCONSIN  10 months, WEST VIRGINIA  4 months, WASHINGTON  5 months, VIRGIN ISLANDS  10 months, VIRGINIA  4 months, VERMONT  10 months, UTAH  5 months, TEXAS  2 months, SOUTH DAKOTA  4 months, SOUTH CAROLINA  6 months, RHODE ISLAND  3 months, PUERTO RICO  12 months, PENNSYLVANIA  9 months, OREGON  5 months, OKLAHOMA  7 months, OHIO  8 months, NORTH DAKOTA  4 months, NEW JERSEY  10 months, NEW YORK  10 months, NEW MEXICO  5 months, NEW JERSEY  10 months, NEW HAMPSHIRE  3 months, NEVADA  4 months, NEBRASKA  4 months, MONTANA  6 months, MISSOURI  3 months, MISSISSIPPI  4 months, MINNESOTA  4 months, MICHIGAN  3 months, MASSACHUSETTS 5 months, MARYLAND  5 months, MAINE  10 months, LOUISIANA  6 months, KENTUCKY  7 months, TENNESSEE  3, KANSAS  4 months, IOWA  7 months, INDIANA  9 months, ILLINOIS  10 months, IDAHO  9 months, HAWAII  7 months, GUAM  11 months, GEORGIA  3 months, FLORIDA  7 months, D. C  4 months, DELAWARE  7 months, CONNECTICUT  6 months, COLORADO  5 months, CALIFORNIA  4 months, ARIZONA  3 months, ARKANSAS  3 months, ALASKA  4 months, and ALABAMA  3 months.  

How Long Does The Eviction Process Take?

The eviction process in home foreclosures can be as quick as one week, but depending upon an array of factors, it can take longer time (sometimes longer than six months or even more). You may be asked to leave your home within a certain number of weeks (or by a set date) from the day you receive the eviction notice. The national average for the time allowed for eviction is 8 weeks, but again, it’s not a rule; it’s just an average. So, you have to be well prepared in advance.

The Redemption Period To Buy Your House Back

There are a few states that do allow a certain redemption period, which can be up to one year, but the majority of states do not offer any redemption right to the borrower. The states where there is a provision for redemption period include Wyoming 3 months, North Dakota 60 days, New Jersey 10 days, Minnesota 6 months, Michigan 6 months, Kansas 6-12 months, Iowa 6 months, Indiana 3 months, Colorado 75 days, and Alabama 12 months. No states other than these offer any redemption period as part of the process of home foreclosures.