More Information On foreclosure Timelines
When is the last time you discussed your local foreclosure timelines? For many people, the answer is never. Foreclosure occurs so rapidly these days that it is difficult to keep track of local events that may have an impact on your property sale. If you find a local newspaper or “For Sale” sign, odds are good that you will be required to make a short sale offer within a short period of time. This can be both exciting and stressful. Here is what you need to know about foreclosure timelines in your area. States with Long Foreclosure Timelines Montana, (76 days) Nebraska, (112 days), and Mississippi (138 days). Nonjudicial foreclosures are not subject to the three-day rule. In nonjudicial states, lenders can pursue borrowers for foreclosure in as little as three days. There is also no requirement that lenders prove borrowers’ default. Foreclosures on bank owned properties account for a large number of foreclosure timelines in nonjudicial states. Average Number of Days to Finish Mortgage Foreclosure Process Montana – The average number of days for homeowners to complete the foreclosure process has increased from fifteen to twenty-eight days. In addition to this, ninety-two percent of foreclosures completed in Montana involve the use of a short sale clause. Ninety-two percent of foreclosures in Montana result in a foreclosure auction.
Average Number of Days to Finish Mortgage Foreclosure Process in the Second Quarter of the Year in Montana – The median number of days for homeowners to complete the foreclosure process in the second quarter of 2021 was twenty-three days. This represented an increase of eleven days from the third quarter of the year. This increase was due to an increase in foreclosures rather than an actual increase in the number of foreclosures that were completed. Thus, the Montana third quarter saw an increase in the number of foreclosures rather than an increase in the number of foreclosed homes. This is important because it shows that foreclosures are still occurring despite the fact that the economy has shown signs of recovery. An analysis of foreclosure timelines would have to be done to determine whether or not this trend is a result of a true recovery or is due to the economy. Average Number of Days to Complete a Foreclosure Process Before Sale in Montana – The median number of days for homeowners to complete the entire process before selling a home in Montana has increased by one day from the third quarter of 2021 to the first quarter of 2021. This represents an increase of twelve days from the second quarter to the first quarter of 2021. This is likely due to the fact that the number of foreclosures completed in Montana has increased over the past year as well. This also represents an opportunity for a borrower to negotiate a reasonable mortgage payment with a lender before the house is sold at auction. Missed Payments Are Not Reinstatement eligible – A borrower can reinstate their loan after a certain period of time without being late on a payment. Unfortunately, many lenders do not stipulate a reinstatement period and will begin foreclosure on a property immediately upon the borrower’s missing payments. Because of this, missed payments do not always result in a foreclosure and miss payments may actually result in a negotiated settlement between the lender and borrower. In these cases, the lender may offer a deed in lieu of foreclosure to allow borrowers to return their home to the lender. As time passes, the lender may eventually agree to reinstate the loan.
Call Us! We're The Experts!