Foreclosure - Homeowners Nightmare
Foreclosure Steps In Simple Language
When you fail to make your mortgage payment, you technically default by not making your mortgage payment as per your mortgage contract.
Your lender will then send you written notice reminding you of your obligation to pay.
Unless you satisfy your lender that you will pay the loan amount due or make the outstanding payments, your lender may start foreclosure proceedings.
Your lender will apply to the court; this is the first step of foreclosure. You will be given a copy of the lenders petition for foreclosure (a copy of the notice filed in court by your lender for starting foreclosure) Lenders also have the option to at the same time sue you for the amount of the mortgage money you still owe on the house.
Once you get the petition for foreclosure, you have seven days to file a document in court generally called ‘Appearance’ This time frame can be different depending you the place of your residence. In simple terms you are to file a document in court stating that you wish to be heard in the foreclosure proceedings.
The notice of ‘Appearance’ forms, are usually available from court registry offices. Once you file this your lender cannot take any steps to foreclose without sending notification. It is of utmost importance that you file a notice of ‘Appearance’ to protect your interest in your home. If you do not file a notice of Appearance then the foreclosure can proceed without any further notification to you.
Filling a notice of Appearance is a simple enough as filling a form so don’t be intimidated. If you are in doubt and cannot afford legal help seek help from legal aid in your area which is usually free.
If you do file a notice of ‘Appearance’ in a timely manner, you will get a document called ‘Notice of Hearing’ this notice advises you on the date and time of the hearing. (Continued on next column)