The bank or mortgage company can take back a home to Louisville Foreclosure Attorney satisfy the mortgage debt. In every state, including Kentucky, homeowners have the option to go through what is known as a foreclosure by judicial sale. If you are facing foreclosure or are a victim of mortgage fraud it is critical to consult with a lawyer who specializes in mortgage and foreclosure. States and the federal government have precise laws that lay out the procedures and rules that lenders must follow before they force a property into foreclosure.

 

The servicer will begin charging late fees once you’ve passed that time frame. At this point, you should receive a letter detailing how to avoid foreclosure and a breach letter. This letter lets the homeowner know that they have a defaulted mortgage. It’s important for the lender to send this breach notice so that the borrowers can make up the late payment. Many mortgage contracts state that a breach letter is required. You can work on a mortgage modification during the Chapter 13 bankruptcy, or sell the home.

 

Helping Real People

 

Then, the bank must follow the proper process to foreclose, which includes the time period requirements. However, if the judge orders a sale, the commissioner will advertise the property for sale for two weeks and then sell the property. You can attempt a reinstatement, workout  or modification while you defend the foreclosure or while you are in bankruptcy. But you normally don’t have the time to do these solutions if the house can be sold in 90 days. You are too late to file a bankruptcy or answer to the lawsuit and save the home after the auction happens. If you’re facing foreclosure in Kentucky, it’s crucial to understand your rights and options.

 

How Does Pre-foreclosure Affect Your Credit?

 

The type of foreclosure used depends on the options afforded by the state’s foreclosure laws and the specific circumstances of the case. Understanding whether your foreclosure is judicial or nonjudicial is essential, as it affects the timeline and legal requirements involved. Kentucky is a judicial foreclosure state, which means that foreclosure cases go through the court system and the lender must file a lawsuit to foreclose on the property. The court will attempt to determine the circumstances surrounding the default through in-court hearings and documents filed by the homeowner and lender.

 

The New Owner Is Subject To The Lease Eviction Laws

 

The notice of default is about a one to three-month-long process. This legal notice is a public record and states that you’re behind on your loan. Once the mortgage lender has filed the notice, it’s basically the last call to action that they give homeowners. If they don’t come up with a solution to pay off the debt, they will foreclose on the home. To prevent foreclosure procedures from beginning, contact your mortgage loan servicer as soon as you know you will miss a payment. Servicers may agree to a work out plan with homeowners to make the loan current.

 

The pre-foreclosure typically occurs when the homeowner is behind three to six months on their mortgage payments. The mortgage lender will notify the homeowners that they have started the preforeclosure process. They do this by filing a notice of default with the court system. The notice will be approved by a judge for a lien to be placed on the property.

 

Working with a real estate agent specializing in short sales is important. During the short sale process, the lending bank is also involved and will usually hire their own real estate brokers or attorneys to get an estimated property value. Homeowners struggling to make their mortgage payments may qualify for a loan modification.