So in the event you arrive at the point that making your mortgage obligations to your home is a lot more than you can do. Then just before you completely cease doing payments the primary thing you ought to do is try calling your loan company. You might want to see if you will get a loan modification for your loan. Just be careful on not being scammed. Banks have gotten a little bit less complicated to deal with but nonetheless a problem seeking to get a loan modification but when it comes to possibly losing your home or getting a loan modification what do you have to lose in trying?
But on to what if you just want to know if you won't qualify for a loan modification because you don't possess a job. Because regardless of everything you have heard you have to show proof of income to obtain a loan modification. Some loan companies will offer you a forebearance that is generally a short-term payment that could buy you some time to avert foreclosure. They usually don't even request for any proof of earnings but at the same time this can be short-term and in the event you can get them to reduce your payment to where you could afford it for the subsequent 3 to 6 months you may be able to prevent foreclosure all together. Keeping your house off the real estate market and joining the ranks with countless other home owners so that you are not alone.
In the event the lender is not willing to work with you then it will result in them submitting a notice of default on you (NOD), with the county recorders office. Normally this happens 3 months after you have not paid for your mortgage payment. But things have changed with a great number of properties going into the foreclosure process it many even be 6 months just before they even file a NOD on you. After the NOD is filed it's the beginning of the foreclosure process.
Now you've got to keep in mind these are not typical times we're currently living in and time frames in todays real estate market place are taking longer than average. If another 3 months passes by this is where trustee comes in to play and files a notice of sale. This is where they auction your house off in the county court house. The notice of sale is printed locally in a local paper along with your name and address and also the amount of the note or home loan and also the date of the trustee sale all the embarrassing and appropriate info needed. It'll come out a minimum of once a week for three weeks.
Now it is still your redemption period if you can come up with all repayments owed and fees etc etc. Also should you can get them to postpone it at the very least 3 times they may have to start over again with a new notice of sale.
Now after the house goes to the auction block anybody can purchase it for the highest bidder above what the minimal bid is established for the public sale. Sometimes the minimum bid is what's owed on the house when that happens it just goes back to the loan company simply because no one is going to pay for a house for more than what it truly is worth. Some times the minimum bid is actually less than what is owed and quite possibly the actual market value. However the catch to buy a house at auction is that it must be in CASH on the spot usually Need to HAVE CASHIERS CHECKS IN THE AMOUNTS OF $10,000.00. There is no getting a personal loan or thinking about it, this is really a do it now, or move on situation.