by Durrell Thomas on January 27, 2010
Going through the home foreclosure process can be an emotional time for many San Diego families. No matter how stressful the experience, understand that you are in a position to start fresh and handle your home loan mortgage better the next time around. We know this to be true because we see our clients go through this process often.
Follow these four steps to rebuild your life after the home foreclosure process.
Step one – Patience is a virtue
With a foreclosure on your record, you will not be able to purchase a home for the next three to seven years, unless you can pay cash for a home. In the meantime, just be patient.
Step two – Become a renter
In an ideal situation you will have enough money in savings to pay for a deposit and two months rent. If you don’t have this kind of savings, then there are several programs in the San Diego metro area that can help, including these:
Step three – Repair your credit
A foreclosure could stay on your record for up to 10 years, which means your credit is likely in bad shape right now. You can’t change the foreclosure, but you can do other things to improve your credit, like paying off debt. If you feel a credit repair counselor or a lawyer will help you with this process, then ask for referrals from friends or even from San Diego Short Sales ASAP. Before you begin to work with anyone, always check the counselor’s credibility with the Better Business Bureau.
Step four – Learn from the home foreclosure process and build your savings
It’s important to continue paying off debt and repairing your credit, but it’s also important to have money set aside for emergencies, and of course, your future home purchase. Make it your goal to save 10% of your after-tax income.
If you’ve gone through the home foreclosure process and are ready to start again, contact us to speak with our home foreclosure specialists.
by Durrell Thomas on January 22, 2010
According to a RealtyTrac US foreclosure report, close to 400,000 Californian homeowners defaulted on their mortgage and received foreclosure notices from January to June 2009, which was a 15% increase from the number of NODs recorded during the first half of last year.
What is a Notice of Default?
After homeowners have been delinquent in mortgage payments for a couple of months, a notice of default (NOD) is issued. In the state of California, you are given 90 days to bring due loans current after receiving an NOD by certified mail, and if you don’t bring your payments up to date, then a notice of trustees of sale will be issued. At this point, mortgage default is official.
What is a Notice of Trustees of Sale?
This notice serves to inform delinquent homeowners their properties will be put up for auction. The notice is published on the property and in a local newspaper once a week for three consecutive weeks. Homeowners will also receive a copy of the notification by certified mail.
What to Expect at an Auction?
A representative from the lending institution will conduct a public auction at the place stated in the notice of trustees of sale. The trustee’s deed will be handed over to the successful bidder once the total amount of the bid is paid. Payment has to be made in cashier’s check or cash immediately after the bidding is over.
Can You Prevent Any of This from Happening?
When your property goes to auction, it’s too late to save it, but you can prevent an auction by acting fast after you receive the NOD. Here’s how:
- Using equity, you can try to refinance your mortgage
- Work with your lender to modify your loan
- Hire a San Diego agent to get you going on a short sale
If your mortgage is in default, the best thing to do is to consult a real estate expert at San Diego Short Sales ASAP. We look forward to hearing from you.
We at San Diego Short Sales ASAP realize you are in the information gathering stage of your purchase and we respect your privacy. Should you have any questions, please feel free to Contact us or call directly at 760-576-4357. If you or someone who you know could use are help contact us DRE Lic 01788274
