Answers to Common Foreclosure Questions
What happens when I receive a notice of default?
It is recommended to stay in your home and seek knowledgeable legal representation in order to properly assess the actual situation, and explore alternatives to foreclosure. Included in the notice of default will be a deadline. If you do not pay the amount due within that time frame, the lender can sell your home.
How long is the foreclosure process in the state of California?
The lender can record a notice of default upon default of the mortgage on behalf of the borrower. Once the notice is recorded, the countdown begins. After approximately four months, the property can be legally auctioned, unless another agreement has been established between the homeowner and the lender. Considering foreclosure must be dealt with in a timely matter, it is important to secure immediate legal representation in order to adequately assess the financial situation and have the time to make alternative arrangements or start negotiations with the lender.
Are there other alternatives to foreclosure?
Although bankruptcy is a very effective way to avoid foreclosure, there are also other ways to achieve financial relief. Various programs are available to homeowners who are at risk of losing their home through the Housing and Urban Development (HUD) department. Various refinancing plans and modifications to loans can help preserve one’s home without having to resort to foreclosure. Some of these include refinancing and deed in lieu.
What if my home is being foreclosed on and I have a second mortgage?
If there is a second lien on your home and you are having difficulty paying your monthly mortgage, then the Second Lien Modification Program might be right for you. This “2MP” program is offered to people who had their first mortgage permanently modified under the Home Affordable Mortgage Program (HAMP) and their second mortgage is on that same property.
Are there any foreclosure defense options specific to military members?
HAMP does provide options for some military members and their families that own homes. If you are a member of the military and you had to permanently relocate your home due to a military transfer, then you might be eligible. You might also qualify if you intend to return to this home in the future or if you are not the owner of any other real estate.
How do I lower my mortgage interest rate?
There are refinancing options through the recently-enacted “MHA” programs such as the Home Affordable Refinance Program (HARP) or the FHA Refinance for Borrowers with Negative Equity. To learn more about these options, you can visit the Making Home Affordable website.
Why do I need an attorney to make modifications to a loan?
It is possible to negotiate a loan modification on your own, however it can be extremely time consuming and complex. If you have had more than one mortgage, and therefore have had more than one lender, it may be difficult to efficiently negotiate a loan if the new lender uses the previous lender’s information against you. Only an aggressive and skilled lawyer can effectively negotiate for you in such circumstances.
Foreclosure Defense Lawyer in Orange County
An Orange County foreclosure defense attorney at the Law Offices of J. Arthur Roberts can make a tremendous difference in your case. Our firm ensures each client fully understands their financial situation and the available alternatives to foreclosure, and could help you identify the most effective solution for your individual case. Contact an Orange County foreclosure defense attorney today for any questions regarding foreclosure.