This is a guide that can help an individual or entity navigate through foreclosure
proceedings. Foreclosure occurs when a borrower defaults on their mortgage payments
and the lender takes possession of the property. This guide covers everything the
borrower could go through during foreclosure, from default to judicial sale of the
property. This guide is ideal for any individual or entity that is undergoing the
foreclosure process and wants to learn more information.
Contents
How to use this Guide ......................................................................................................... 4
Do I need a real estate agent? ............................................................................................. 4
How do I find a reputable real estate company/agent? ....................................................... 4
Do I also need a lawyer for a foreclosure? ......................................................................... 5
How do I find a reputable law firm? ................................................................................... 5
Foreclosure Frequently Asked Questions ........................................................................... 6
What is a foreclosure? ..................................................................................................... 6
What constitutes a breach or a default on a home loan? ................................................. 6
Should I forgo a foreclosure and take a deed in lieu? ..................................................... 6
What is a Declaration of Default? ................................................................................... 6
Must the original trustee process a non-judicial foreclosure? ........................................ 7
What documents will I receive when the bank forecloses? ............................................ 7
How long does a foreclosure take? ................................................................................. 7
Who pays the foreclosure fees and costs?....................................................................... 7
What is a Declaration of Default? ................................................................................... 7
What is common delay to the foreclosure process? ........................................................ 7
How does the bankruptcy of the borrower affect the foreclosure? ................................. 8
What law authorizes foreclosures through a trustee’s power of sale? ............................ 8
Who is entitled to receive a Notice of Default? .............................................................. 8
Does the borrower need actual notice to have a valid foreclosure? ................................ 8
What are my options and how do I exercise them? ........................................................ 8
Special Forbearance ........................................................................................................ 9
Mortgage Modification ................................................................................................... 9
Partial Claim ................................................................................................................... 9
Pre-foreclosure Sale ........................................................................................................ 9
Deed in Lieu of Foreclosure ......................................................................................... 10
Bankruptcy ...........................................