Why Do You Need Foreclosure And Bankruptcy Attorneys?
Are you the owner of a property in San Diego? Did you know that if you fail to make your mortgage payments on time, the bank can issue a foreclosure on your property? Those of you who are not familiar with the term, foreclosure means that the bank will acquire full control over your property.
Most people don't buy properties with their own money.
What they usually do is to approach a bank or a mortgage lender for a loan to buy a house.
In this case, the property, be it a house, apartment or building is used as collateral or a security for the possibility that the buyer might not be able to repay the loan amount.
After this process, the mortgage lender or bank takes complete control of the property.
It is then sold to cover the loan amount.
Different states have different conditions of foreclosure.
It can take place both inside and out of courts.
A time period is usually given to the owner for vacating the property.
It can vary from 2 months to 2 years.
The pre-closure clause is also present in some states if a person fails to make a few consecutive payments.
A notice is sent to the owner to remind him to make the payments on time.
If he still does not clear his payment, the foreclosure procedure is begun.
To delay the foreclosure proceedings, you can file for bankruptcy.
During the period of bankruptcy, the lender or bank can't initiate legal procedures against you.
Even if there is a legal case against the owner, it has to be dropped for the time being.
Bankruptcy can simply give you more time to make your payments; it can't stall the foreclosure clause permanently.
A lender can also file for relief from automatic stay.
If the relief is approved, the foreclosure process can be started again.
There are usually 2 types of bankruptcies that you can file in court: * Chapter 7 - This type of bankruptcy eliminates the dead assets like unpaid bills, credit cards, and all other types of unpaid debts.
* Chapter 13 - This clause grants a certain time period to the debtor to make his payments.
A lot of you are not familiar with the legal jargons of foreclosure and bankruptcy.
But, having sufficient knowledge about these terms is essential while buying a property.
The best solution is to hire foreclosure bankruptcy attorneys in San Diego.
Most people don't buy properties with their own money.
What they usually do is to approach a bank or a mortgage lender for a loan to buy a house.
In this case, the property, be it a house, apartment or building is used as collateral or a security for the possibility that the buyer might not be able to repay the loan amount.
After this process, the mortgage lender or bank takes complete control of the property.
It is then sold to cover the loan amount.
Different states have different conditions of foreclosure.
It can take place both inside and out of courts.
A time period is usually given to the owner for vacating the property.
It can vary from 2 months to 2 years.
The pre-closure clause is also present in some states if a person fails to make a few consecutive payments.
A notice is sent to the owner to remind him to make the payments on time.
If he still does not clear his payment, the foreclosure procedure is begun.
To delay the foreclosure proceedings, you can file for bankruptcy.
During the period of bankruptcy, the lender or bank can't initiate legal procedures against you.
Even if there is a legal case against the owner, it has to be dropped for the time being.
Bankruptcy can simply give you more time to make your payments; it can't stall the foreclosure clause permanently.
A lender can also file for relief from automatic stay.
If the relief is approved, the foreclosure process can be started again.
There are usually 2 types of bankruptcies that you can file in court: * Chapter 7 - This type of bankruptcy eliminates the dead assets like unpaid bills, credit cards, and all other types of unpaid debts.
* Chapter 13 - This clause grants a certain time period to the debtor to make his payments.
A lot of you are not familiar with the legal jargons of foreclosure and bankruptcy.
But, having sufficient knowledge about these terms is essential while buying a property.
The best solution is to hire foreclosure bankruptcy attorneys in San Diego.