When foreclosure comes knocking on your door, both literally and figuratively, you’ll start to remember all the payments you’ve missed. However, there’s no point in dwelling on the past and it’s time to focus on the future. First, look for San Diego’s most experienced foreclosure attorney to get you out of the tight spot. Once that’s settled, gather more information about the foreclosure process in California and everything it entails.
What is the process of foreclosure in California like?
Foreclosure is a process that’s complicated to the uninitiated, leaving them struggling to understand what exactly is going on. This makes it essential to gather more information on the process of foreclosure in California and adequately prepare for what may be to come.
The first thing you have to know is that the services can start an official foreclosure if you’re more than 4 months, or 120 day, late on your mortgage payments. From there, it’s important to know what different types of foreclosure procedures exist and how they differ.
Judicial and nonjudicial foreclosure
The two main types of foreclosure activities are judicial and nonjudicial foreclosure, and they vary in some basic concepts:
This type of foreclosure starts the moment a lender files a lawsuit with the court demanding the beginning of a foreclosure sale. If you, the borrower, fail to respond by submitting a written answer, the lender wins the lawsuit by default. On the other hand, responding means it’s up to the court to reach a decision.
During this foreclosure, the lender doesn’t submit a lawsuit with the court but rather attempts to complete procedures provided by the state of California. If the lender completes all the necessary steps, they can choose to sell your home during a foreclosure sale. This is the more common type of foreclosure, as it’s cheaper, faster, and involves no litigation.
The process of nonjudicial foreclosure
The process during the most common foreclosure, nonjudicial, includes several essential step:
Requirements for borrower outreach
Under the law of the state of California, the service has to get in personal contact with you at least 30 days prior to recording a notice of default. The main purpose behind such a contact is establishing your current state of finances and exploration of different options that you could use to prevent foreclosure.
California doesn’t allow dual tracking
The law in California doesn’t permit dual tracking. This means that you can apply for a first lien modification on your loan no later than 5 working days prior to your foreclosure sale. This way, the servicer cannot proceed with holding a trustee’s sale or recording your notice of default before:
- Making a written determination on your ineligibility and awaiting the expiry of the appeal period
- You accepting the offer within two weeks
- You accepting a modification on your loan but you proceed to breach or default on your financial obligation under said modification
Notice of default
The process of foreclosure officially starts once the trustee finishes recording a notice of default at the county office. This notice contains information about the nature of your breach of contract and ways you can cure it.
Notice of sale
If you fail to cure your default, the lender will move on with recording a sale notice. This document contains the place and time of your foreclosure sale, as well as other essential information.
Who is San Diego’s most reputable foreclosure attorney for me to hire?
When you find yourself in financial trouble, and you’re facing foreclosure on your home, it’s important to gather more information on the troubles you’re in. Besides learning more about the process of foreclosure, gain more knowledge about what foreclosure in California entails. From there, work to explore several options that can help you avoid foreclosure, and remember that filing bankruptcy is one of the best ways to prevent losing your home.
Then, turn to professionals for assistance. At Bankruptcy Law Offices of Mark L. Miller, we help people avoid foreclosure, file bankruptcy, and regain their financial independence. You can count on us to use the information you provide, stop all efforts of foreclosure on your home, and proceed to advise you on the best type of bankruptcy to file for your situation. You can leave everything in our capable hands while you and your family enjoy Belmont Park. Call today!