Your Questions About Foreclosures | foreclosureorder.com

Your Questions About Foreclosures

Your Questions About Foreclosures

Sharon asks…

In the state of Texas what is the legal process for giving notice of foreclosure?

Your Questions About Foreclosures

The Expert answers:

Read your mortgage. It controls.

This answer assumes you are dealing with a foreclosure by advertisement. If it is a judicial foreclosure, you will need to be served a summons and complaint in conformity with Rule 4 of the Texas Rules of Court.

But almost all foreclosures are by advertisement these days. Contract controls–whatever you agreed to.

Your Questions About Foreclosures

Joseph asks…

How do I file a foreclosure on a property?

I am a lien holder on a property and the person who is buying the property has not paid their taxes and is always late on the payments? Is there a form I can fill out to start the foreclosure process? I live in Harris County, Houston, Texas. Thank you.

Your Questions About Foreclosures

The Expert answers:

This is not a tax question and not a do it yourself project. Hire a real attorney.

Your Questions About Foreclosures

Jenny asks…

On Foreclosure in texas?

I got a letter in January 14,2009 saying I had till January 19th to get with the lender to pay up 6 months of mortgage pass dued or they were going to foreclose. I called the investor and told him I had $6000 to give him and I’d make arrangements on the other. He told me to keep my money and he was going to still proceed on the Foreclosure. Then I get 20 day to cure letter correction/amendent and telling me to ignore the 01/31/2009 letter (which I had not received yet) with one of the 10 acres on it, but doesn’t describe which property it is in the letter. I have 3-10 acre tracks. So when I called the attorney, he said he was too busy and the letters tells me which property they are by 10.17, 10.18, 10.67 and I should know which one it is and he would call me back after 5 pm on 02/11/2009. Which he didn’t. I stated I only have received one letter and said the others will come. I got the other ones, but they don’t describe the property except by amount of acreage and the address. Is this the process on foreclosure. A letter from the lawyer in January and then another sent out January 31 and on Feb 3 a correction/amendant for one of the 10 acres. It doesn’t make since and the investor calls before I can even receive the letters, because he doesn’t want to pay anymore lawyer fees out. Please let me know how I can fix this problem. Are where I can get help.

Your Questions About Foreclosures

The Expert answers:

You need a lawyer of your own to protect your interests. The other lawyer does not have to talk to you. Don’t believe anything he promises you. He has already lied to you by not being in touch when he stated he would be. Get a lawyer, and fast!

Your Questions About Foreclosures

Helen asks…

How come mortgage lenders don’t want foreclosure?

I am refering to if the loan thats due is worth significantly less than the value of the property. So in that case, why would a lender not want to sell this property and gain all of the profits from the sale?

Like in Texas, if the borrower misses 3 months of payments. Property is worth $300,000. Missed payments, plus the entire loan is $250,000. So why would a lender not want to either sell this property at a tax deed auction or sell it afterwards if their were no bidders? Since they would gain all the profits from the property either way.

If they would not want to go through this foreclosure process given my example given, then would it be possible for me to buy their loan from the lender and have the property go into foreclosure so I can reap the profits?

Tell me what I am not understanding please.

Your Questions About Foreclosures

The Expert answers:

Um, because it takes like a year for the legal process of foreclosure to complete. And by the time that happens, the house has been vacant for a year and has often been totally neglected and vandalized. So, the bank lends out $100,000 for a house.. Then after the sheriff’s sale they can only sell it for… Like $50,000. OR they can’t sell it at all, which is increasingly the case right now because there are just so many of them.

But, it’s only been recently that banks have been reluctant to foreclose and have been willing to work with buyers. Before the “foreclosure crisis” hit lenders basically showed no remorse.. And were happy to foreclose on anybody who didn’t make payments. It was a small write-off for them, and showed people the consquence of not paying on time. But now it’s just become too much of an expense and a lot of banks are trying to avoid it if they can (although not really trying hard enough in my opinion..)

Banks DO go through the forclosure process that you outlined in your example. If it were profitable we wouldn’t have seen a multi-billion dollar bank bailout. This rash of foreclosures is what has directly lead to the near detriment of our entire financial system. Foreclosure sales are NOT profitable for banks!

But, yes, you can take over a person’s loan. It’s called a “short sale”, and they happen all the time. A third party buyer comes in and negotaites a deal with the distressed owner and the lender. The lender sells you the house for the price of what’s left on the loan. The previous owner walks away empty handed. The house then wouldn’t go into foreclosure, though. You would just then own the house and then you could sell it yourself (nobody buys most of these things at sherrif’s auctions anyway.)

Google the term “short sale” and you can find info.. Or go to the library and get a book on real estate investing. I suggest learning as much as you can before getting into this business. You can lose a lot of money in it..

Your Questions About Foreclosures

Steven asks…

How long does a motion to relief from a automatic stay take in Colorado? Regarding a home in foreclosure.?

I need to how long this process will take. My home is in foreclosure the sale date was May 13th. I filed for bankruptcy in Texas March 25th. The home is in Colorado. My daughter lives in the home. How long will this bankruptcy delay the sale.

Your Questions About Foreclosures

The Expert answers:

A Motion For Relief is when the investor/servicer removes themselves from the bankruptcy with the blessings of the court. It takes as long as the servicer and the courts take which is determined by the severity of the delinquency. There is no ‘exact’ time frame. You may want to look at having your daughter move out of the home and including it in the bankruptcy because once that MFR is granted the mortgage will again report to the credit agencies as delinquent, then pre-foreclosure then foreclosure, charge off, etc.. On top of all the other credit that is reporting as BK. This means you will have both BK and FC on your credit. While there will probably be some type of forgiveness in a year or two for people who are losing their homes these days, as a potential creditor I would see the BK and FC and I’m not so sure that forgiveness would apply. It is also far easier to start repairing your credit with a BK only, as opposed to a BK and FC.

Sometimes it’s best to just close the door and start over (for credit purposes too) than to drag this out which in turn drags out the length of time before you’re going to be able to start recovering your credit.

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Your Questions About Foreclosures
Your Questions About Foreclosures
Your Questions About Foreclosures
Your Questions About Foreclosures
Your Questions About Foreclosures

Your Questions About Foreclosures

Your Questions About Foreclosures