The short answer is: the first notice gives you 14 days to request a modification. If you do that, foreclosure goes off the docket for 3 more months, whether you follow through and give them documents or not. If there is no modification, and you cannot force one on the mortgage company, they can resume foreclosure by advertisement, and put the notice in the paper, always the Legal News, for four weeks before the sale date.
Then, there is a six month redemption period from the sale date, and it takes a month after that to evict you.
However, they ain’t moving that fast. The mortgage companies have way more homes for sale than they want already.
(493,000 bank owned homes according to a recent Wall Street Journal story)
And that number is down 17% from a year ago!
I hear of people going two and three YEARS without making a payment, and NO foreclosure started.
In fact, according to the same Wall Street Journal story, the national average, and take the national numbers with a grain of salt, as foreclosure is a matter of state law, and varies state to state, but, the average number of days behind that a completed foreclosure was in July: 599 days, up 25% from 478 days in August, 2010.
It depends on the value of your home, and, who knows what else?
There is no pattern, no predictability.
And the mortgage companies change their policy whenever they want.
Some good news from the WSJ story:
“Banks will soon roll out a single website and phone number for borrowers whose loans were handled by the 14 servicers to request an internal review of their foreclosures. Loan servicers are hiring or redeploying thousands of employees to handle the additional workload. Fixing all the problems found by the U.S. government “is a multiyear process,” says a spokesman for the Office of the Comptroller of the Currency.”
Let’s see, how many cliches apply: closing the barn door after the horses are out, a day late and a dollar short.
Maybe, better late than never.
image credit: Dreamstime