Are You at Risk of an Orlando Foreclosure

Facing the Possibility of Losing Your Home to Foreclosure?

If so, you are not alone. Foreclosure procedures are started when house payments are missed. It is easy in these uncertain financial times to get behind on payments and feel overwhelmed. Few people think they will ever lose their Orlando home, but the reality is, it happens. No matter the reason, whether it is job loss, mounting medical bills, increasing taxes or anything else, you should know more about missing payments and foreclosure.

The Timeline Leading Up to Foreclosure

There is a month by month process, which varies by state, which leads up to foreclosure.

• First Month: With your first missed payment, your lender will contact you, usually by letter or phone. It is not too early to explain your circumstances causing you to miss the payment.

• Second Month: After you have missed the second payment, your lender will be calling more and you will definitely need to sit down with them and talk about your situation. You should have a plan to resolve the missed payments and here is where a knowledgeable REALTOR in foreclosures can help.

• Third Month: Your lender will send you a letter (Demand Letter or Notice to Accelerate) that states the delinquent amount you owe and that you have 30 days to correct this action. If you do not make arrangements with the lender or pay the specified amount the lender may start foreclosure proceedings. You can contact me, Helen Thompson, to assist you in exploring the options so you don’t go into this unassisted.

• Fourth Month: The date in your Demand Letter (or Notice to Accelerate Letter) is probably getting close by this time and if you have not made the full payment or worked out alternate arrangements, you will be referred to the attorneys of your lender. As part of your delinquency, you will also be responsible for the attorneys’’ fees.

• Foreclosure: Unless alternate arrangements have been made with the lender, the foreclosure begins and the attorneys will schedule a Sheriff’s Sale or Public Trustee’s Sale.

Notification of Sheriff’s Sale or Public Trustee’s Sale

If your Orlando home goes into foreclosure, you will be notified of the sale by mail, a notice taped to your door or it will be advertised in the local newspaper. From the time of the Demand Letter to the sale is usually 2-3 months, but this varies by state. Until the actual sale date, you can still pay the full amount owed (including attorney fees) to avoid the foreclosure.

Entering the Redemption Period

After the date of the sale, you will enter a redemption period. A redemption period is when you can still reclaim your Florida home by paying the mortgage balance and all attorneys’ fees. This is even after the home has sold at the foreclosure sale. The availability of and the amount of time of the redemption period varied by state and is usually determined by the type of foreclosure. The foreclosure will be either judicial or non-judicial. Judicial foreclosures use the courts with a complaint filed by the lender and the recording of a notice of Lis Pendens (suit pending). A non-judicial foreclosure does not get processed through the courts, but uses the foreclosure requirements established by state statutes.

Here to Help During Foreclosure

No matter the reason for facing foreclosure on your Orlando property, you will benefit from using the knowledge of a real estate agent that is up-to-date on foreclosure information and what to do. You can contact me, Helen Thompson and we can sit down together and figure out what step you need to take next. As much as possible, I will work with you to explore all the options to help you avoid foreclosure. I am just a click or call away.