Tennessee foreclosure listings and process in brief- By: John Smith
Properties appearing at Tennessee foreclosure listings might be bank or government foreclosures. However, bank foreclosures are predominant in this list. The global economic recession and job market instability have created a precarious situation for homeowners who have taken home equity loans. Credit squeeze is also blocking the road of taking fresh loans to pay back the older ones. In this situation, maintaining regularity in payment of home equity loans and property tax has become really tough. As a result, the number of foreclosures is increasing phenomenally. However, this situation has become a blessing for people wishing to become homeowners and real estate investors. In this article, we will focus on foreclosure process in Tennessee and the advantages of buying these properties.
Though both judicial and non-judicial foreclosures are legal in Tennessee, non-judicial ones are the most popular. It is a title theory state where the mortgage deed comes with power of sale clause. This clause showers equal right of redemption on the lender. In simpler words, the lender is free to sell the property when the borrower makes gross default in repayment of the loan amount. The lender does not require judicial intervention to foreclose the property. However, he is bound to give ample time and notices before foreclosing the property.
Before selling foreclosure commercial real estate, the lender has to give a 20 days prior notice to the borrower and all parties involved with the property. The borrower can repay the amount with in these 20 days to stop the auction. This interim period is also known as pre foreclosure. In this period, the homeowner can also sell the property and pay back lenderís money. If the homeowner does not do it and repay the lenderís money with in 20 days, the notice of foreclosure sale is issued by the lender. This notice appears once a week in all local news papers for three weeks. All details related to property, auction date and deposit money are given in the notice.
Commercial real estate foreclosure in Tennessee is sold through the process of auction. Any one can bid here and the property goes to highest bidder. The foreclosure might take 90-120 days depending upon the redemption period of the loan amount. These properties cost 36% lower compared to fresh properties. Hence it is an ideal investment option. All details related to Tennessee foreclosure listings can be found from real estate websites.
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