The Importance of Knowing the Foreclosure Laws in Your State!
A recent CNNMoney.com story on how quickly a foreclosure on property may become final ultimately reveals the importance of knowing the foreclosure laws in your state, especially when considering the nature of the current foreclosure epidemic.
A Business Wire press release indicated that there were 131,574 U.S. households in some stage of foreclosure during the month of July. When broken down, that's one U.S. foreclosure per every 879 households.
With that information in mind, did you know that an Alabama foreclosure may take place in as little as 30 days after a delinquency notice on failing to make a mortgage payment is published?
Or that it may take as little as 60 days for foreclosure to take place in states like New Hampshire and Mississippi? These states use deeds of trust, which refer to a third-party trustee temporarily holding the title to the property until the home loans are paid off.
While foreclosure may be much quicker in the 34 states that primarily or exclusively use deeds of trusts rather than mortgages (which involves a lender and borrower and does not include a trustee), there may be one advantage of living in a "deed of trust" state.
Even if your home is foreclosed and auctioned off to somebody else, some "deed in trust" states include "rights of redemption," which provide a time period for debtors to pay off their debts and get their homes back.
The story further elaborated that judicial foreclosure is typically slower in states where mortgages are involved. Providing some examples, Florida and Nebraska foreclosures may take place in 180 days. A Vermont foreclosure may take place in 210 days while a New York foreclosure typically is finished within 12 to 19 months, making it by far the state with the longest time frame for a foreclosure to become final.
Why do judicial foreclosures take longer? To begin with, a lawsuit must be filed. A period of discovery follows, and a court date must also be set. Courts can also grant delays for the preparation of cases.
With that said, do you live in a "deed in trust" state or one which primarily relies on mortgages? This question will have much relevance if you're worried that you're going to lose your home and need to stop foreclosure.
At Foreclosure-Fighter, we can help you learn more about the foreclosure laws in your state and then delve into your options, including refinancing or Chapter 13 bankruptcy. All you have to do to get started is fill out the form relevant to you on either our refinancing or Chapter 13 bankruptcy page, and we'll help you get in touch with an experienced professional who can answer your questions about the foreclosure laws in your state and help you take action before it's too late.