ABCs Of a Magnolia TX Foreclosure
If after exploring all other alternatives such as federal assistance programs, loan counseling and/or modifications, or a short sale, you are still faced with foreclosure, you need to be familiar with that process and what it means for you. The procedure varies from state to state, and your first step is to be aware of the regulations regarding your Magnolia TX home.
1. Judicial is allowed in all states. After the lender files with the judicial system, you will receive a notice for payment. After 30 days with no response from you, the property is sold at an auction conducted by the court.
2. Power of sale, also known as statutory foreclosure, is allowed in many states if your mortgage contains a “power of sale” clause. In this case, the mortgage company, after sending out the required notices and waiting for an established period of time, carries out the auction of your Magnolia TX home.
3. Strict foreclosure is allowed in some states and provides for the property, again after the required notices and time period, to revert directly to the lender. No auction is involved. Usually this type of foreclosure occurs only when the amount of the debt exceeds the value of the property.
If you cannot meet your mortgage obligations, the lender must notify you in writing as it proceeds with each step of the foreclosure process, designed as follows:
1. Notice to accelerate: Once you are sixty days past due, you will receive a notice to accelerate. The only way to stop the process at this point is to bring current the loan amount past due plus any assessed late fees. You may also be informed that you will be responsible for any attorney fees incurred.
2. The demand letter: If you do not pay the past due amount by the date previously established by the lender, it will hire an attorney to send you a demand letter stating that, without immediate payment, the foreclosure will be sent to the court.
3. Notice of default: Without a payment from you, the lender will file a formal foreclosure notice with the court. You will have 20 to 30 days to respond to this judgment before further steps are taken.
4. The notice of sale: After no response from you in the allotted time period, you will be given a notice of sale which sets the date of the court’s auction or the repossession of your Magnolia TX home by the lender.
Why Consider a Short Sale If Your Magnolia TX Home Is No Longer Affordable
Whether you are new to the Magnolia Texas real estate market, thinking of moving up, or you’re an experienced investor, Pam Sitterly has the expertise, proven track record, and resources to help you buy Magnolia TX real estate for sale or market Magnolia TX homes for sale. Enthusiasm, knowledge of the area and personal concern for her client’s interests combine to make Pam an outstanding resource for your real estate transactions.
Pam works extensively to help Buyers and Sellers meet their Magnolia Texas real estate goals. For more information about buying or selling your Magnolia TX home, please call Pam at 281-723-0324 or via email with this convenient contact form.