How far behind in mortgage payments before a bank starts the foreclosure process?

by oliver on September 30, 2010

Question:

How far behind in mortgage payments before a bank starts the foreclosure process?

Is there a set time it takes before you are actually out of your home?

Answer:

The time frame of the foreclosure process varies in every state. But usually, if the borrower is late in his mortgage payments for at least three consecutive months, the lender may file fore a foreclosure. During the first month of late payment, the lender will ask the reasons of your delay thru phone calls. On the second month, the lender may take legal action and on the third month, he may already file for a foreclosure. Once the lender files the for foreclosure, you will receive a notice of default. This notice will inform you of the total amount of debt that you owe and will remind you that your property will face foreclosure. Fortunately, you will be given time to make your payments current or work out an agreement with your lender in order to prevent the foreclosure process from taking place. If an agreement was made or if you were able to make your payments current, your property will not be foreclosed on. However, if the contrary happens, you a notice of Sale will be issued and your house will be sold to the public thru an auction. This notice is usually issued 21 days prior to the sale date so you still have lots of time to work things out.

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