Foreclosure numbers are growing daily. Of the one hundred twenty or so million homes in America, more than 4% or roughly 4.8 million of them are facing foreclosure. Some of these homeowners are able to work their way out of foreclosure, however, according to MBA there were about 500,000 homes that went through foreclosure last year. Foreclosure threatens these homeowners because they are late or seriously behind on their mortgage payments.
The Foreclosure process begins when the homeowner fails to make payments of the money due on the mortgage at the appointed time. This may be due to several reasons. Unemployment, divorce, medical challenges, terms of the loan, sick of property management, and even death.
Foreclosure is applied to any method of enforcing payment of the debt secured by a mortgage, by taking and selling the estate. Borrowers and lenders now face a challenging situation. Both seek a compromise that permits a win-win outcome. The borrower to keep his home or business, the lender to keep receiving mortgage payments.
Foreclosure proceedings typically start with a formal demand for payment which is usually a letter issued from the lender. This letter of notice is referred to as a Notice of Default (NOD). Depending on your state, the lender will issue this notice when the homeowner has been 3 months delinquent on the mortgage payments. Keep in mind that the notice is a threat to sell your property, terminate all your rights in that property and evict you from the premises.
Right now the market has a plentiful supply of Foreclosure and Bank Owned Properties. But are they for you?
Purchasing a Bank Owned Foreclosed Property will usually result in the normal time frame associated with most typical home sale transactions. You are still entitled and highly encouraged to have all inspections as usual when purchasing a bank owned properties.
The difference being that most often there will be no repairs done by the bank. Hence the notation on the listings Sold As - Is
BUT THIS DOES NOT KEEP YOU FROM DOING YOUR DO DILIGENCE! You will still have an inspection period to make sure that you make an informed decision to purchase.
You will need an Agent who will stay right on top of the transaction to swiftly keep things moving forward.
IF YOU ARE CONSIDERING PURCHASING A FORECLOSURE BANK OWNED PROPERTY FEEL FREE TO CONTACT ME TODAY!
IF YOU ARE A HOMEOWNER IN TROUBLE CONTACT ME TODAY SO WE CAN EVALUATE YOUR SITUATION.