Stepping In The Middle Of A Preforeclosure Procedure- By: Jacquelyn Marks
Before a property is considered amongst the foreclosed listings, it undergoes a preforeclosure process. This is the time when the status of the property changes from being owned to repossessed.
Each state implements its own foreclosure procedure. This is another thing you need to know because what may be applied to one state can vary in another. But across all states, foreclosure procedures take time and may, in fact, impact on the emotional and physical well-being of the homeowner.
The steps leading to a foreclosure are:
Notice of Default
The lender will send a reminder on the borrowers default payments. This is already a sign that the property is on the verge of being repossessed unless action is taken.
Notice of Acceleration
This is required by many states. If you live in one that implements it, you still have a chance to save your property from being repossessed. The lender simply gives you an ultimatum on how you can satisfy your obligation and avoid foreclosure.
Notice of Sale
When you, as the borrower, fail to meet an agreement with the lender, this notice is sent to you by the borrower. You can either file for bankruptcy or make further negotiations with the lender for a foreclosure in deed in lieu method.
Even when a foreclosed property makes it to this stage, you are not yet free from the obligation. If the proceeds of sale is less than the amount that you owe, the lender will still send you a notice.
From the time a notice of default is given to the conduct of a public auction, you still stand a chance to save your property and your credit score from being marred by a foreclosure proceeding. Take this opportunity and get into serious negotiations with your lender to come up with a win-win solution for both parties.
Article Source : http://www.realestateproarticles.com/
Author Resource : Foreclosurefreesearch.com is the leading provider to onlineforeclosure listings.