A foreclosure is defined in Black's Law Dictionary as: "the procedure by which mortgaged property is sold on default of mortgagor in satisfaction of a mortgage debt".
As you are likely aware, the end-result of a foreclosure is the sale of your valued home without your input or control.
In other words, a foreclosure is a process that results in your home being sold to repay your mortgage debt. After paying attorney's fees and the high costs of sale, the equity in your home can be quickly erased in a foreclosure sale.
In addition, the damage to your credit resulting from a foreclosure may prevent you from purchasing another home for several years.
The foreclosure process can be stressful and can result in you losing your most valuable possession, your home and thousands of dollars in fees and costs.
In today's housing market, home lenders are most often unwilling to work with you unless they are forced to do so in bankruptcy.
However, if you are facing foreclosure, you may have several options.
Whether you desire to save your home by repaying your mortgage arrears over time, or simply need to buy time to sell your home and avoid foreclosure, Attorney Bankruptcy Services may be able to help you.
In the event you qualify, a chapter 13 bankruptcy case can stop or forestall a foreclosure action as long as a bankruptcy is filed before the date of sale. Upon filing a chapter 13 (or any other bankruptcy case), an automatic stay goes into effect on the date of filing.
The "automatic stay" prohibits your mortgage lender from selling your home and creates a shield around your assets that prevent all debt collection activity, including mortgage foreclosures.
Under the automatic stay, mortgagees cannot initiate a foreclosure action and must cease-and-desist from all legal proceedings if there is an existing foreclosure action.
To stop a foreclosure sale or to discuss options on how you can save your home, please contact Attorney Bankruptcy Services today.
To receive a free consultation regarding your (or your friend or family member’s) debt problems, please contact us today at (206) 442-9500.