[thegreatwarrior]

Hello,

I was just wondering: what is the fastest way that someone, given right instruction, could reverse a foreclosure?

Thanks

[877YouKeep]

that is a very vague question, please elaborate. What state? Has it gone to sale?

[jeremyg]

the question is a little vague. How far are you behind in your payments? Who is your loan with? I'm sure you are aware that IndyMac foreclosures have been halted by the FDIC. Regardless of whether your loan is with them or not there are several options you have. First go look at this timeline to see the timeline for a foreclosure to take place in your state. That should give you a better idea of how long the process can take. Also it doesn't hurt to talk a Loan modification service. They deal with foreclosures and loss mitigation. Were you in an arm loan, were you a victim of predatory lendin?. Anyway, there is alot that could factor in. I'd talk to a specialist. Good Luck! Hope this was somewhat helpful.

[Viktor0300]

We helped out my brother-in-law financially and could stop the foreclosure before it got serious but that was just pure luck.

[admin]

I doubt it was luck, if you helped financially did you win the money or work for it? There is not a whole lot of room for luck when it comes to loss mitigation. There is the proverbial "Black Box" but that can be beaten with loss mitigation training and an understanding of the business, Not Luck just the finances to assist.

[closurefore]

The best way to avoid foreclosure is to prevent the filing of a Notice of Default. Lenders do not want to foreclose but will file a Notice of Default to protect their interests, if necessary. If you know you are unlikely to meet your mortgage obligation, the first thing you should do is call your lender.

[admin]

Could you be more clear? as the situations and stages vary a lot... Yes, there are many quick ways to stop foreclosures depending upon on the situation of the stages in the foreclosures... As you might know this is the normal time line involved in a foreclosure:

Day 1-15
Mortgage payments are typically (not always) due on the first of each month. If the payment is not made by the due date it is considered delinquent.

Day 16-30
A late fee is usually assessed to the mortgage account after day 15. The first notice is usually mailed on the 16th of the month. You may begin getting phone calls at this time.

Day 31-45
A loan enters default when it is 30 days late, and a second notice is sent at that time. This default date will have a negative impact on your credit score.

Day 45-60
Servicer sends “demand” or “breach” letter to the borrower pointing out that terms of the mortgage have been violated.

Day 61-90
When a loan is 60 days past due, the lender may initiate acceleration procedures by sending a letter notifying the borrower that foreclosure is the next step. At this time the lender will only accept your total past due which includes: all past and current payments with late fees and interest.

Acceleration procedures include lenders refusing to accept any partial payments and requiring that the past due balance on the mortgage be paid in full, and can even mean that the lender will void any payment agreement and call the loan due in full.

Day 91-105

Servicer refers loan to foreclosure department. Hires local attorney or other firm to initiate foreclosure proceedings.

Depending on the state where the home is located, the servicer’s representative may record a formal notice of foreclosure at the local courthouse, publish details of the debt in the local newspaper, attend hearings on the case and make appropriate court filings.

Once acceleration begins, if you abandon the property or the property is red tagged, your home may be repossessed. This may include your locks beginning changed and your utilities are disconnected.

Foreclosure proceedings can start any time after the acceleration notice is sent, but usually happens when the loan is 90 or more days past due. This is when attorney fees become a significant part of the fees due. On average attorney fees will add about $2,000 to your total amount due.

Day 150-415

House sold at foreclosure sale or auction. Wide time range due to different state requirements. Foreclosure can happen in Michigan either by judicial action or by newspaper advertisement (sheriff sale). The most common foreclosure action in Michigan is by advertisement. In this procedure, the lender’s attorney advertises the property for sale in a general-circulation newspaper for four consecutive weeks.

The sheriff sale date is listed in the advertisement, and following the four weeks the county sheriff sells the property to the highest bidder (which is usually the lender).

The sale must be a public sale that happens between 9:00 a.m. and 4:00 p.m. and will be held at a courthouse. The sheriff or deputy usually conducts the auction and the winner will be the highest bidder.

The sale may be adjourned, and the notice of adjournment must be posted where the sale would have taken place. Adjournments will be published in the same newspaper where the original notice was advertised.

The officer conducting the sale will execute and deliver a “sheriff’s deed” for the premises to the highest bidder. The deed will specify the last date that the mortgagor can redeem the property. This deed must be recorded within 20 days of the sale, and the person recording the deed will endorse the date and time it was received on the document. If the property is redeemed the sheriff’s deed will be destroyed.

Borrowers in states with judicial foreclosures, or those in which lenders have to retake property titles via the court system, can get almost a year to straighten out their affairs before the sale. Those in non-judicial states have as little as two months.

Day 150-415+
After the property is sold at a sheriff sale the mortgagor has a redemption period during which time the property can be reacquired.

The redemption period in Michigan is usually six months, except in situations where there are more than four units; less than 2/3 of the original debt owed, multiple acres and/or abandonment occur.

In order to redeem the property at this point you must pay off the mortgage, all interest and late fees, court costs, attorney fees, title and appraisal fees. If the sheriff deed holder paid taxes or insurance after the sheriff sale, the mortgagor must pay those fees as well. Redeeming the property by getting another mortgage is very difficult because of the bad credit rating that resulted from the foreclosure. Redeeming the property by selling it on the market is often a good option. If the property is redeemed, the original rights and obligations of ownership are reinstated.

[PAgirl09]

Once you know you're going to default or have defaulted, you need to take action immediately. Time is not on your side. Thanks for posting the above information for everyone.