New Jersey Foreclosure Law Facts

1. The Defendant (borrower or property owner) misses several mortgage payments – usually 2-4 payments.

2. The Plaintiff (Lender, Bank, or Creditor) files Notice of Default or Lis Pendens with the Supreme Court in Trenton, NJ and that information is passed to the county offices.

3. New Jersey is a Judicial Foreclosure State which means the court approves the sale and the Plaintiff gives notice to the defendant. If the response is inadequate and the required loan payment and fees are not paid, the Plaintiff goes to court for Auction Sale Approval. This is commonly known as a Sheriff’s Sale or Sheriff’s Auction sale.

4. Once the sale is scheduled, it must be publicly advertised in two county newspapers for four consecutive weeks, and it must also be posted on the property.

5. The Plaintiff must notify the Defendant at least 10 days prior to the sale. In most cases, Defendants are allowed two adjournments to try to rectify the pending foreclosure.

6. At the Sheriff’s Sale, the property is sold to the highest live bidder, and a 20% deposit is by cash, certified or bank check. The balance is due in 30 days.

7. After the Sheriff’s Sale, the Defendant has 10 days to redeem the property. If the property is not redeemed (right of redemption), the Winning Bidder owns the property. If the property is not vacant, the new owner may have to obtain a Writ of Possession to have the occupants evicted.

8. If the Foreclosure Auction does not pay the loan and fees in full, The Plaintiff can file a deficiency judgment for the remainder of the loan.

Don’t Count on New Foreclosure Laws to Help You Save Your Home – Take Action Now

Lawmakers nationwide are debating on which new laws will most help foreclosure victims. Many different solutions have been presented, such as stopping foreclosures completely for one year, or placing more regulations on subprime mortgage lending. However, once a decision is finally made, there is no guarantee that it will even help existing foreclosure victims. Many laws being recommended are to prevent future foreclosures and will offer no direct relief to homeowners currently in foreclosure.

If you are facing foreclosure and need help to stop the process before running out of time, you can and should take things into your own hands as soon as possible, or find help outside of new laws or government programs. Since the new laws may not even take effect for months and government programs can take years to provide assistance, you should search for other options to save your property before the bank has it auctioned off while you are waiting for a government solution that never comes.

Besides the obvious options of a foreclosure refinance or a hard money loan to pay the arrears, there are many other options that can help save your home from foreclosure. One of the most utilized methods is a loan modification or loan workout plan. A loan workout program is when the lender allows a fixed period of time for you to pay back the arrears and get current on the mortgage again. In most cases, you will pay the normal payment amount, plus an extra amount that is applied to the amount you fell behind, plus the bank’s extra interests and late fees. A loan modification is when the term of the loan and/or the interest rate is adjusted to make the payment more affordable. Modifying the terms of the mortgage this way, in many cases, is very similar to a refinance, because you can get a new lower rate and a new term for your loan.

Another option, that is only available when predatory lending has taken place, is to eliminate the arrears and begin the loan again, as if it were a brand new loan. This can happen when the lender wrote a fraudulent loan in the first place. There are many more cases coming out during the subprime mortgage meltdown where the lender is forced to forgive 100% of the arrears and begin a new loan with an affordable payment. This is a very new process and very few assistance companies are offering this type of process to help homeowners in foreclosure, but it has been very successful and has saved many homes when it has been used in the past.

If you are facing foreclosure or you are in danger of missing future payments, it is important to stay in communication with your lender and seek help from a trained and qualified professional immediately. Many local governments provide taxpayer-funded help and mortgage and real estate professionals can provide their assistance services at a very reasonable cost. The most important thing is that you do not waste valuable time and you get the help you need today.

Benefits of Investing in Colorado Foreclosures and Colorado Foreclosure Laws

Investing in Colorado foreclosures gives you a piece of extremely valuable property at cheap rates and also enables you to make a neat profit after reselling. Foreclosure laws are designed to help lenders recover delinquent mortgages as well as borrowers to avoid Colorado foreclosures.

State median prices are around $250,000.The discount on Colorado foreclosures is about 21%. You can even land properties at $165,000 or lower in smaller towns at the foot of the Rocky Mountains and areas such as Fort Collins, Grand Junction, Pueblo and Montrose.

Colorado is state that covers most of the Southern Rocky Mountains, part of the Colorado Plateau and the Great plains. It is part of the Mountain States, the Western US and the South Western US. It is noted for its vivid landscape of plains, mountains, canyons and Mesas. The site of 30 major highest peaks of the Rockies, it has several national parks, national monuments, historic sites, forests, wilderness areas etc.

Since the 20th century, tourism has become a mainstay and high technology has driven the economy. Denver the capital is an important center for finance. Evidence of the good quality of life is evident in the fact that Coloradans have the lowest rate of obesity in the US. It is famous for an active, healthy lifestyle.

Colorado State Laws for Foreclosure are of two kinds;

1. Law for Judicial foreclosure: When the mortgage agreement lacks power of sale element, a lawsuit can be filed by the lender in the court to get an order officially to get the property foreclosed. As per the court’s order, the mortgage is ready for auction and the property is sold to the highest bidder as Colorado foreclosures. The bank utilizes the proceeds to foreclose the loan amount.

2. Law for Non Judicial Foreclosure: A firm or a public trustee is appointed to perform on behalf of the lender to handle a foreclosure covered by power of sale. Its starts with lender informing the lawyer on the mortgage payments that is delinquent. The lawyer will file the required documents in the office of the public trustee of the area in which the home is situated. After filing the notice, it is published in the local newspaper for a period of 5 weeks. Suppose the buyer does not respond the property will be sold away within 40-60 days for which the trustee can use the services of any courthouse. The whole procedure takes 145 days.

Other laws enables borrowers to redeem their property and save their home even after Sale. Thus Colorado has legal safe guards protecting the buyers who invest in Colorado foreclosures as well as borrowers who are trying to combat foreclosures.

Foreclosure Law – Don’t Get Caught On Its Wrong Side

Foreclosure law will differ on a state-to-state basis. The foreclosure laws in each state will vary in the degree of their strictness; some states are extremely specific when it comes to the acceptable procedures for foreclosing on and disposing of real estate, while others are much more flexible.

But most states do look to the details of the mortgage documents on a property as the foundation for their foreclosure law. The terms to which the borrower and lender agreed in the mortgage documents are binding, and they will almost always dictate the legal or extra-legal options which are to each party during the foreclosure proceedings.

When You Want To Invest In Foreclosures

The foreclosure law in a given state can also have a great impact on a prospective buyer’s ability to purchase foreclosed real estate as an investment. Tens of thousands of people have mastered the art of buying foreclosed homes and selling them in a short time for a fast profit. Should you be thinking about joining them, make sure I n advance that the foreclosure law in the states where the properties are located contains no stipulations which would interfere with your plans.

Be especially careful about foreclosure law as it pertains to encumbered properties; there are states which allow the home’s owner a grace period in which to clear any liens against his property and in doing so retain title. If you should purchase an encumbered property and the owner does manage to clear the liens, you could find yourself with nothing.

Hire A Professional Foreclosure Law Researcher

If you have decided to pursue foreclosure properties in a number of states, your safest alternative is to find a legal firm to research the foreclosure law in each of them. Trying to pore over the real property statutes in a number of states will not just consume a tremendous amount of time; it can leave you confused about the subtle differences in foreclosure law from state to state. It’s much better to have a legal professional familiar with property law examine the state codes for you, and be ready to advise you when you are ready to make your purchases.

You would be much better served by spending your time researching foreclosure lists than by researching foreclosure laws. First find the promising properties, and when you have a number of them, give your selections to your legal professional so that he or she can begin researching the pertinent state foreclosure laws. Having the research done for you will cost something, but if it saves you from a serious blunder and allows you to buy only those properties on which you can profit, it will be money well spent.

Ohio Foreclosure Laws

Ohio is a judicial or in court only foreclosure state. This means that the bank must petition a judge to move forward to sell a house attached as security to mortgage in default to try and get the money owed that is not being paid.

This means that the court decides how much a home owner in difficulty must pay. Is also sets a time frame, usually a fairly short one, in which the home owner needs to come up with that amount. If the homeowner cannot pay that money during the allotted time, the clerk of the court must advertise the home for sale.

Three different appraisals of the property are required to be conducted before the scheduled sale date. These appraisals must be performed by professionals who have no interest or other connection to the home being appraised. The minimum asking price, or the least amount it can be sold for must be no less than two thirds of the appraised value that has been sent to and filed with the court.

The sale is held at the court house for the county in which the property is located. Prior to the scheduled sale date, an advertisement, announcing the sale date, time, place and terms of the auction for the home must be run in a local paper. This advertisement must be run at least once a week for three weeks consecutively in the weeks leading up tot the scheduled sale date, the paper in which the ad is to be run must name general circulation in the county win which the home is located. The county sheriff will officiate at the auction. The opening bid will be that two thirds value established by the three appraisals. The person offering the highest price will be awarded the property by the sheriff.

Lenders do have the right in Ohio to see a deficiency judgment. This means that if the bank feels that the money generated by the sheriff’s sale has no other assets worth pursuing by the bank. Deficiency judgments are therefore rarely sought.

The average amount of time for a foreclosure to run its full course in Ohio is 150 days. I could find no specifics on how the funds for the winning purchase are to be paid. Ohio foreclosure law does state the court will punish the winning bidder who fails to pay that bid by finding them in contempt of court. That sounds pretty severe. So, in Ohio make sure you can pay, if you are the highest bidder at the sale.