What are California's laws on foreclosure?

Question

My girlfriend and I broke up and I can no longer make the $4400 dollar mortgage.

Answer 1

I just find it amazing that people take foreclosure so lightly as if it were a walk in the park. I can't believe how irresponsible some people have been with their financial positions lately. Home ownership used to be something people strived for and cherished. It's very sad that so many people ruin it for others with their cavalier attitudes towards such important matters.

Don't blame the lenders, the loan officers or the brokers for the mortgage mess, it's attitudes exactly like this at the core of the problem.

Answer 2

Timeline: around 120 days
Redemption: only if Judicial Foreclosure
Deficiency Judgments: only if Judicial Foreclosure
Judicial Foreclosure: Yes
Non-Judicial Foreclosure: Yes
Security Instruments: Deed of Trust, Mortgage

The Judicial Foreclosure process is rarely used in California . It will only be done if there is no “power of sale” clause in the original loan documents, or if the lender wishes to pursue a deficiency judgment against the borrower. If this process is used, the lender sues the borrower to obtain a decree of foreclosure and order of sale; the court may give the borrower a right to redeem the property for up to one year.

The Non-Judicial Foreclosure process is more common in California , and is used when there is a “power of sale” clause in the original loan documents. This clause authorizes the lender to sell the property in case of a default. If the loan documents specify the place, time, and terms of the sale, then those details must be adhered to. If they do not specify the time, place, and terms of the sale, then there are a series of guidelines that must be followed.

A notice of default is recorded in the county that the property is located in, and a copy of the notice is sent to the borrower within ten (10) days of the notice being recorded. The borrower is given ninety (90) days from the date the notice is recorded to cure the default.

1. After the ninety days, if the borrower is unable to cure the default, a notice of sale is recorded. The notice states that the lender or trustee will auction the property within twenty-one (21) days of the notice. Copies of the notice are sent to the borrower by certified mail, as well as posted in a county newspaper for three consecutive weeks before the sale. The notice is also posted directly on the property, as well as in a public forum, such as the county courthouse.
2. The sale is conducted by the lender's representative at the scheduled time and date. The high bidder must immediately pay the full winning bid amount by cash or certified check and receives a trustee's deed once the sale is completed. The lender will usually bid on the property for the amount of the due loan balance plus costs. Ownership of the property reverts to the lender if there are no other bids.
3. The lender can not sue the borrower for a deficiency judgment, and the borrower has no right of redemption after the sale of the property.

Answer 3

In California, once a notice of default is filed, it will be a minimum 3 monhts and 21 days until the foreclosure sale. After the sale, you will be evicted from the property.

Answer 4

Get thee to a good Realtor and get that property sold. Perhaps you can get something out of the property or a least break even. If not, there might be an opportunity for a short sale. Do not sit and do nothing. Get that property evaluated, priced right, and on the market. Don't follow it to the bottom.

Answer 5

Hurry do a short sale.
Or get some room mates to make up the difference.
Like rooms for rent