Frequently Asked Questions

What is the foreclosure process and how long does it take?
Each state governs the foreclosure process differently. As a minimum, the law requires that the borrower receives sufficient warning or notice before the foreclosure can take place. Other rights and responsibilities may be outlined in the mortgage or loan documents you signed when you purchased the home.

Do I have any options and if so, how much time do I have to exercise my options?
You have several options available to you as long as you own your home. Once your house is sold, whether by you or through foreclosure, many of your options disappear. Knowing what your options are, puts you in a much stronger position to deal effectively with the foreclosure process. Armed with the right information, you may be able to save your home from foreclosure and, in some instances, avoid the foreclosure process altogether.

I get letters and notices from people claiming they can help me save my home - are they for real?
When foreclosure documents are filed they become a matter of public record and many people review these records for various purposes such as compiling lists to sell to bankruptcy attorneys, investors, real estate professionals and other people interested in either purchasing your home or . . . helping you save it. Some of these offers are probably legitimate but, none of them have your best interest at heart. Never forget that these offers come from people who are in the business of making a profit from your foreclosure situation!

Do I really stand a chance of saving my home from foreclosure?
Yes! If your willing to fight for it. Knowing and understanding what options are available to you is the first step. The most utilized option is Bankruptcy. Other options include refinancing and reinstatement of the loan using one of these options. Your success depends on you implementing the proper option in a timely manner.

How can I avoid foreclosure scams?
Follow these precautions: Don't sign any papers you don't fully understand. Make sure you get all "promises" in writing. Beware of any loan assumption where you are not formally released from liability for your mortgage debt and contracts of sale. Check with an attorney and a real estate professional or your lender before entering into any deal involving your home. If you're selling the house yourself to avoid foreclosure, check to see if there are any complaints against the prospective buyer. You can contact your state's Attorney General, the State Real Estate Commission, or the local District Attorney's Consumer Fraud Unit for this type of information.

So, what are the main points I should know about Foreclosure?
Don't lose your home and damage your credit history if you can help it. Call or write your mortgage lender immediately. Stay in your home to make sure you qualify for assistance. Arrange an appointment with a HUD-approved housing counselor to explore your options. Cooperate with the counselor or lender trying to help you. Explore every alternative to losing your home. Beware of scams. Do not sign anything you don't understand. Remember that signing over the deed to someone else does not necessarily relieve you of your loan obligation.