Most people buy a home by borrowing part of the purchase price usually from a bank or a mortgage company. The challenge, he said, is to find a way for people who are struggling financially to remain in their homes without making their neighbors pick up the slack for building maintenance, snow plowing and other services. The Notice of Trustee Sale (NTS) is recorded with the County Recorder’s Office with notifications delivered to the borrower, posted on the property and printed in the newspaper.
If the default isn’t corrected (the loan must be brought current) within three months, a foreclosure sale date is established. The holder of your mortgage must publish notice of the foreclosure in the official county newspaper for public announcements where the real property is located for four consecutive weeks prior to the scheduled foreclosure.
If a tenant learns of the foreclosure in this manner, they should act quickly as the redemption period is almost over (see section What Should I do When I Receive the Petition for Foreclosure?” below). In a foreclosure proceeding, the lender also bears the burden of proving they have standing to foreclose.
In addition, homes in the auction or REO stage of foreclosure will not include a seller disclosure, which would have alerted you to additional problems that a typical inspection might not uncover. The lender starts a court action by filing a Petition for foreclosure against your landlord.
In strict foreclosure proceedings, the lender files a lawsuit on the homeowner that has defaulted. The foreclosure process may continue once the appeal process has been completed and adjudicated. The final order for foreclosure is called an order absolute,” and it comes after the redemption period ends.