The legal process by which a borrower in default under a mortgage is deprived of his/her interest in the mortgage property. This usually involves a forced sale of the property at public auction with the proceeds being applied to the mortgage debt. This essentially means the home owner has failed to make their monthly payments.
The two types of foreclosures are:
Judicial; Which is when a court will grant the foreclosure based on a hearing. This essentially means the lender goes to court to get a judgement to foreclose on a home.
Non-Judicial; Which is when the deed of trust beneficiary files a notice of default with the county courthouse based on the “power of sale covenant” clause in the mortgage. This essentially means the lender does not have to go to court.
Please note: Every state allows a lender to get a judicial foreclosure but not every state provides the procedures for a non-judicial foreclosure. South Carolina is a Judicial Foreclosure state.
120-180 days past due – Demand letter is sent with a grace period to bring the loan current. (Pre-Foreclosure stage)
NOD (Notice of Default) is filed publicly if the borrower fails to respond accordingly to the demand letter within the timeline granted. This is the beginning of the legal proceedings.
Your property goes to public auction at the county courthouse if the loan is not brought current. The bank will start the opening bid and your property will go to the highest bidder.
If you or someone you know is facing foreclosure, contact us today!
We can help by making up your back payments to bring your loan current and STOP the foreclosure process while we arrange the purchase of the property or align you with a cash buyer for free. NO fees, NO commissions!
We can buy AS-IS so no need to stress about cleaning up or making repairs.