What happens after receiving a foreclosure notice?
receiving a foreclosure notice It is not a good feeling. Even if you do not know your story I can imagine how unpleasant being in a situation like this and I know it may be hard to find the strength to face it.
So I want to talk to you about real estate foreclosure, trying to explain in a simple what does have the foreclosed home and what will happen from the moment you receive the notification act.
Read carefully because I want you to understand perfectly what effect will foreclosure on your life and why it is important that you know take right decisions without making you break down in despair.
What is the real estate foreclosure
Technically, foreclosure is an act that you are notified at home by a bailiff. This act is the last stage of a procedure initiated by the subject to whom you owe money, in order to recover his due.
Here are 3 phases which led to foreclosure:
Injunction
It is the first act by which the Judicial Authority, at the request of the creditor, He ordered the payment of a sum corresponding to the debt, plus interest and costs, within 40 days.
Precept
If after the injunction you have not acted in any way, you received the second legal act by which the lender you ordered them to pay the debt within 10 days.
Foreclosure
Not having done anything even after the precept, it shall have been delivered to the foreclosure notice. If you did receive it means that someone who had to Money, which unfortunately you are no longer able to return, It is passed to the facts, trying to make up on your house.
The attachment is thus the beginning of a procedure of compulsory expropriation.
What happens after foreclosure notice
After receiving this act, you can expect in the near future the visit of a Expert, which will draw up a relationship detailed on conditions of your home and its value. The new rules on the determination of the value of the appraiser should drive towards a more realistic assessment, but still they remain very wide margins of maneuver.
The expert knows how the judicial auctions, so do not expect your property to be assessed for what it's worth, rather…
The court then will fix the date auction and determine the lowest price on the basis of expertise (therefore lower than the actual value). Before the auction, You and your family will be forced to suffer the visit of all interested people at home.
Unfortunately they also know well the mechanisms of judicial auctions, so it is very likely that, although you see many people go into the house, the prime weeks go deserted.
If you're wondering why, I'll explain it: every time an auction is deserted, ie is no tenders for the building, the court is obliged to drop the price, until the 25%, to the next marketing experiment. After fourth attempt sales, the court may decide to reduce the price until the 50%.
You can understand, then, it is very likely that many rods go empty, and the price still falls, well under of the real value. In these cases often it happens fail even cover all the debts for which it was originally initiated the procedure.
The consequences of a distraint, Unfortunately, are these: you you will have lost your home, that It will be sold off at auction (a situation already in really bad self), at a much lower price of its value (situation even more unpleasant) e will remain even with debts to pay (then worries will not end).
Wait, But, do not despair and keep reading because I have something important to say to you.
Everything I have told you so far are the normal consequences occurring after a foreclosure notice. Ma it is said that must necessarily go so.
Remember: foreclosure is NOT an expropriation, but it is only the beginning of the procedure which ends with the auction house: at the time of the attachment that is taken from you is the availability of your home, yet his tenure!
This means that it is something not to be taken very lightly, but you have not even considered to be the decisive event in front of which you no longer have any power. It is not yet too late to be able to do something and prevent your situation worse further.
Keep in mind this concept because it is important and I want to stress: by way of execution yet TU owner, at least until the house is not sold at auction. It therefore considers the seizure as a kind of last warning: If you do not do anything about your home will be auctioned and sold by court order to repay creditors.
That's why it's critical that you manage to settle the debt in time, or ask you to an expert of real estate foreclosures to understand How can you prevent your home ends up at auction.
Contact for a free consultation and we will explain clearly how you can consolidate your debt position and return to live in peace.