A foreclosure is the process where the property is seized due to the owner’s inability to pay the monthly installments. Delinquency, Foreclosure & Eviction are the various stages that the owner goes through to be forced out of his or her property.
If a homeowner misses the mortgage payments on the first of the month, a late fee is charged on the mortgage amount for the next 15 days. However, if the homeowner misses the payment by 60 days, then a demand letter is sent, noticing and giving them an extension of 30 days to pay the delinquent amount.
Going further, if the homeowner passes 90 days in paying the amount, then the loan is transferred to the foreclosure department. The default notice is then transferred to the county and the same is mailed out to the homeowner within ten days. From here, the homeowner is given another 90 days to make the payment for the delinquent amount.
In case of no payments are made after a period of 90 days, a notice of sale is recorded. According to the notice, the lender will sell the house within a period of 21 days. The copy of notice of sale is recorded on the county and a similar copy is sent to the homeowner. Following the sale of the property, the eviction process starts from the foreclosed owners.