As the number of foreclosures in your area grows, you may feel the urge to jump into real estate as part of your investment strategy. The Notice of Sale states that the trustee will sell your home at auction in 21 days. I first met Riggs in mid-March, a few weeks after he received the foreclosure letter. Other types of foreclosure are only available in limited places and are therefore considered minor methods of foreclosure.
If the foreclosure is approved, the local sheriff auctions the property to the highest bidder to try to recoup what the bank is owed, or the bank becomes the owner and sells the property through the traditional route to recoup its loss. Foreclosure is a situation in which a homeowner is unable to make mortgage payments as required, which allows the lender to seize the property, evict the homeowner and sell the home, as stipulated in the mortgage contract.
The pros and cons of buying a home involved in foreclosure vary with the phase of foreclosure the property is in when purchased. Our take on Sessions came largely from living in Alabama for 36 years, where Sessions served as state attorney general or U.S. senator for most of that time.
Property lists are available in the Austin Chronicle 21 days prior to the sale and online 15 days prior to the sale. This type of foreclosure, also known as statutory foreclosure, is allowed by many states if the mortgage includes a power of sale clause. During the market crash from 2005 through 2011, many home owners simply walked away from their homes because the values had fallen and they owed more than their homes were worth.
The holder of a mortgage without this clause has only two options: either to wait until all of the payments come due or convince a court to compel a sale of some parts of the property in lieu of the past due payments. Visit our At-A-Glance page to view a helpful guide of the Foreclosure / Trustee sale process from start to finish.