The 2013 government shutdown could not have come at a worse time for the housing market. Millions of Americans are still looking for a way out of foreclosure, and with state and federal services suspended, individual homeowners will slide further into despair; without significant government support for homeowners in foreclosure thousands of borrowers will be forced into financial crisis.
In a foreclosure, the lending institution will require the homeowner to appear at a mandatory conference, which includes the banks legal team, and other advisors. During this meeting, the borrower is able to meet his or her lending institution face to face. At this point in the foreclosure process the homeowner is limited in his or her chances to salvage the mortgage.
Once the bank is unable, or incapable of finding a settlement with the homeowner, the case will move ahead through the court system. Prior to the 2008 housing crisis, banks were usually granted a judgment against the homeowner.
After the 2008 housing crisis, states have increased the pressure on lending institutions, and in some cases, homeowners have defeated the lending institution. Without giving specific statistics, it is safe to say the lender usually wins the court system.
A Judgment of Foreclosure and Sale is issued after the judgment. This gives the lender the right to sell the property at auction. Once this is issued a Notice of Sale is then published, followed by an auction sale.
Avoiding a foreclosure can be as simple as contacting a professional real estate company, like Premier Real Estate NYC. Once piece of advice many real estate professionals will tell a borrower in severe debt is, don’t give up, there are ways to remedy your housing fears, and remedy any credit damage, or loan delinquency.