Foreclosure

Note that if you have a HUD, VA, FmHA, or FHA insured mortgage; you have additional rights in foreclosure. Consult a Lawyer as soon as possible. (We advise that you consult a lawyer either way!). This is just an outline; keep in mind different States have different Laws! This is why it is important to protect your rights with consulting a Lawyer!

What is it?

Foreclosure is a lawsuit were the holder ( the Bank, Lender, or Mortgage Company) of your mortgage sues you! They can actually take your property, or sell your property to pay off the debt! The result is that the owner loses whatever rights you had in the property in the foreclosure.

If you fail to pay your Mortgage loan on time; the Lender has the right to bring action against you by foreclosure. Also if you use your property as collateral in a loan or have a 2nd Mortgage; that lender also has the right to per sue foreclosure. What happens is the 2nd lien holder buys out the 1st lien holder or vis versa; then the one that holds the whole property will foreclose!

To protect your rights you must follow the foreclosure court process very carefully.