Foreclosure help

Foreclosure Process for a Home

What is the foreclosure process for a home?

The foreclosure process for a home in the United States varies from state to state, and sometimes individual counties have different processes from each other as well. In New Jersey and a few other small states in the Northeast the process is different in the individual townships!

By and large, however, there is a set amount of time between 2 months and a year in which nothing happens at all to the mortgage holder other than their bank sends them notices of being behind on rent payments.

When does the official home foreclosure process start?

The official home foreclosure process starts when the end of that time period is reached and the homeowner is placed in a status called “default” which means they have another set period of time, usually 1 to 3 months, until the Auction of their home.

When in the foreclosure process can my home be taken away?

During the default period, their home cannot be taken away from them, and they have until the auction day to catch up on their payments. If they do not pay enough money to get out of default, their home will be up for auction and any investors allowed to purchase property on US soil can walk away with the property for the highest bid… Even if that’s less than the amount owed.

The process for buying a foreclosure home for investors will greatly differ from state to state as well, as they must use different strategies in each state to best get their property at lowest price.

Different foreclosure process for a home in each state

Since the legal process of home foreclosure is even handled in different courts of the different states, it is impossible to list here the most likely way to go about it, so the best way for a new investor to get started buying foreclosure properties is to start out with the state or county tax assessor’s website and ask for all the information on the property they are interested in.

Since half of the US states complicate the matter by offering a Lien to investors as well, finding the most relevant foreclosure process for a home to you really should start at the property tax assessors office, and simply follow the leads they give you. Many even have online forms to make it easy!