2006-11-29 08:57:32 · 5 answers · asked by Anonymous in Business & Finance ➔ Renting & Real Estate
That's pretty rare, unless it's a second mortgage that started at a low loan-to-value. In most cases, banks will move as fast as the law allows them to if they believe they won't get all their money back.
I've seen people with $10,000 second mortgages that are 2 years behind. Their lender must've known there was plenty of equity, so they just let the interest and penalties build up. Eventually they'll refinance or sell.
2006-11-29 09:03:44 · answer #1 · answered by Anonymous · 0⤊ 0⤋
It's quite rare for a bank to let a mortgage be in default for nearly 14 months, although not unheard of. Usually, after 3-6 months, the foreclosure proceedings will begin according to the laws of the state in which the property is located.
And then if you can't stop foreclosure, the bank will take the home back. Some states allow for "redemption periods" for as long as a year or two, which vastly increases the amount of time a homeowner can live in a house without making a payment. But in other states, the whole process can be over within 4-5 months of missing the first payment.
Your best bet is to find out the laws of the state to see how long foreclosure proceedings usually take. If there is a lengthy redemption period, that may explain why 14 payments could be missed.
ForeclosureFish
Stop Foreclosure: http://www.foreclosurefish.com/
2006-11-29 10:44:00 · answer #2 · answered by Anonymous · 0⤊ 0⤋
It varies state by state. In New York after 3 months or missed payments you will get a notice of default which is recorded with the county clerk and put in newspapers. The notice will state will you must do to correct the default. If nothing is done by the stated due date then the lender will sue you in court as New York is a judicial foreclosure state. They will ask the the court for permission to sale the property at auction to recoup there losses. The whole process in New York can take 12-18 months but do let it get this far. Call the lender immediately. Try to workout something. As previously stated. Banks don't like to foreclose as it is costly. Good luck and God Bless.
2016-05-23 02:55:02 · answer #3 · answered by ? 4 · 0⤊ 0⤋
What do you mean by "let you"? Foreclosure proceedings can take up to that long, meanwhile, they're NOT letting you, they're allowing you the chance to make up for the payments!
Lenders are NOT in the business to grant loans so they wont get paid back!!! Without you continually making that interest payment, they would cease to exist! My point is they gain NOTHING when you do not pay! They rather you give you as much chance as possible, then have to go through the foreclosure proceedings. Life happens sometimes you cant make a payment or two... .then life gets back on track!
2006-11-29 09:08:16 · answer #4 · answered by ALEGNA 3 · 0⤊ 0⤋
It is rare that they would let it go that long. Usually They (the creditor) send a notice of default when you are 2-3 months behind. You then have 2-3 months to come current on your payments or lose the house. Every state and country has a different set of regulations, but 14 months is not the norm.
2006-11-29 09:06:27 · answer #5 · answered by Ron B 3 · 0⤊ 0⤋