Stop Foreclosure in Kentucky

 


How to Stop Foreclosure in Kentucky

When owning a home, the most important thing that one should be able to consider would be their savings. This means that if you do not have enough money yet, it wouldn’t be advisable to purchase a home. You wouldn’t want to purchase just about any home and then later on end up in debt right?

In instances wherein a person purchases a home and then later on ends up unable to pay for it, then the lender would do their work and start it by contacting the debtor. This basically means that it would be important to keep a constant line of communication between yourself and your lender. If you are no longer able to pay for your loan, there are options that you can consider. Of course, the banks do not want to lose any money so they will think of ways on how they can solicit payment without losing anything in the end.

The process is called loss mitigation. This is a program designed to provide consumers ways on how they can still pay for their debt. Of course each debtor faces a different situation so chances are they create different types to suit their client’s needs.

The lender can keep the home or can opt not to. Loss mitigation is usually a result of divorce or job loss. This option allows you to still own your home and live in it even if you cannot pay for it point blank. Another option would be not keeping the home. This option is probably the easiest of all options. You will basically not have your home any longer if you cannot pay for it at all.

However, not everyone is qualified for loss mitigation. You can only qualify for this if you present a proof that you are truly unable to pay for your debts and have no other source of income anymore.

Synopsis of Kentucky Foreclosure Laws

Judicial Foreclosure Available: Yes

Non-Judicial Foreclosure Available: No

Primary Security Instruments: Mortgage

Timeline: Varies

Right of Redemption: Yes

Deficiency Judgments Allowed: Yes, but with restrictions

In Kentucky, lenders may foreclose on a mortgage in default by using the judicial foreclosure process.

Judicial Foreclosure

Generally, in judicial foreclosure, a court decrees the amount of the borrowers debt and gives him or her a short time to pay. If the borrower fails to pay within that time, the clerk of the court then advertises the property for sale.

At some point prior to the scheduled date of foreclosure, an appraisal of the property must be made. If the foreclosure sale price is less than two-thirds of the appraised value, the borrower has a period of one year (12 months) from the date of the sale to redeem the property by paying the amount for which the property was sold, plus interest.

It is possible to obtain a deficiency judgment against the borrower for the difference between the amount the borrower owed on the original loan and the foreclosure sale price, but only if the borrower was personally served with the lawsuit, or failed to answer.

Where to go to for Foreclosure Help

Louisville

Dept. of Housing and Urban Development
Gene Snyder Courthouse
601 W. Broadway, Room 110
Louisville, KY 40202

Phone: (502) 582-5251
Email: KY_Webmanager@hud.gov
Fax: (502) 582-6074
TTY: (800) 648-6056

Jurisdiction: State of Kentucky

Krista Mills
Field Office Director

Office Hours: 8:00 a.m. to 4:45 p.m.,
Monday through Friday

Stop Foreclosure Early

Heleringer Mortgage Company
502-412-6162
1945 Alfresco Pl
Louisville, KY

KEY FINANCIAL MORTGAGE
502.644.8008
107 South Hurstbourne Ln.
Louisville, KY

AMERICAN NATIONWIDE MORTGAGE
(859) 263-0699
151 NORTH EAGLE CREEK DR
LEXINGTON, KY

Residential Mortgage Services
859-252-5626
191 Kentucky Avenue
Lexington, KY

Kentucky Solutions LLC
502-212-2482
PO Box 36012
Louisville, KY

Wells Fargo Home Mortgage
(859) 745-0733
114 S. Maple St
Winchester, KY

Benchmark Mortgage
502-244-4344
2525 Nelson Miller Parkway
Louisville, KY

Webmyne
0235464
Hopkinsville
Kentucky, KY

MSI Lending
859-253-5363 ext 2242
2700 Old Rosebud Way Suite 310
Lexington, KY

The Cecilian Bank
270-737-3750
2633 Leitchfield Rd
Elizabethtown, KY