The writing is on the wall and it is spelling out a grim future for you and your home. Being behind on your mortgage payments has finally caught up with you and a slew of documents, including a notice of default filed by the trustee, at the county recorders office, has just made it to your mailbox. Be warned, that is one of the first of many steps leading to a public trustee sale of your foreclosed property.
When consumers are no longer able to afford the payments to fulfill the terms of their mortgage agreement and steps are not taken to get back on track, foreclosure of the property may occur. After the property is seized by the lender, they may choose to recoup their loss by conducting a public auction. The auction will be open to all bidders, and typically the highest bidder who can also meet all the requirements established by the Trustee will become the new property owner. That auction process is called a public trustee sale.
The foreclosure process does not occur over night. Each state has individual legalities that govern the foreclosure process. Homeowners fearful of foreclosure and subsequent public trustee sales are notified by mail about their impending future. There is usually a three-month period allotted for the original homeowner to catch up on back payments and to keep their home from going on the auction block.
A public trustee's sale may also go by the name of a Sheriff's sale. The sale will probably be promoted in the local paper and a notice will be taped to your door. The date the auction is scheduled to take place is the actually foreclosure day. From the time of that notice, you either have to renegotiate your mortgage with your lender or pay off the total amount due.
If you find that you are running late on your mortgage payments contact a HUD sponsored housing counselor. They can provide valuable advice and assistance to help you keep your home.
