Know more about foreclosure process

When you fail to pay the mortgages for your house, you will be slapped with a foreclosure notice. Foreclosure is a long legal process.  A mortgage lender seeks a foreclosure as a last recourse to recover his money. 

A foreclosure process starts with pre-foreclosure procedures. When a person misses out on the first couple of payments he is served a notice. If the owner pays no heed to it, a second late payment notice is served. If even this is ignored a final request is made. If the last request too elicits no response, then the mortgage lender is entitled to seek for the payment in full. A standard clause, called the acceleration clause, in your mortgage agreement entitles the lender to seek the payment in full along with late payments and other applicable penalties.  Once this clause is evoked the process of foreclosure formally begins.

Next, the lender sends a foreclosure letter certified by the sheriff or legal officer to the house owner. This is followed by a publication of a newspaper notice about the foreclosure. Soon, a court date is set. All parties involved in the case are summoned for a hearing. Once the court is convinced, it will pass the foreclosure order. Armed with this order the lender publishes the note of foreclosure along with the date of auction.

The auction takes place under the supervision of a legal officer. Once the auction is closed, new purchase contracts are issued.

Legal matters make a foreclosure process a lengthy and time consuming affair.  However, even when the ball is in the court, matters between the lender and the owner can be settled amicably. 

Short Sale Expert

Finding the right short sale expert can be a daunting task. It takes more of luck and less off effort to get one.  Most of them masquerade as experts. And there are many who outsource it to a third person and collect a commission. All of them advertise so aggressively that you won’t even get to know the true specialist from the spurious ones.

If a customer understands how things work out in short sale, one can well sniff the conman out. In fact a short sale specialists answer to some questions can help you know his true colors. When you approach a so called expert, enquire about the following:

Ask the specialist to explain you the process in details and what to expect. Elicit in details the services they will provide and also how you need to pay for their services. Be wary of those who make it look very simple and rosy.

Try to learn more about their experience in the related field. Grill them for their success stories and then seek references. Cross check it to know the truth. Not many of them may have a long experience. This is because short sale is a trend that is just a couple of years old. As long as the short sale specialist is aware of the process, you need not worry. One having experience in a couple of short sales can help you properly.

A true short sale specialist will explain all the risks involved with a short sale. This includes legal and tax issues. One who comes clear on this can be trusted right away. One who prevaricates or beats round the bush is probably a rookie.

A short sale specialist with a basic understanding of the process can help you properly.