When a house is foreclosed, the reasoning behind it seems simple enough. The purchaser of the home was unable to afford the property and it was re-possessed by the bank or mortgager. However, a number of foreclosures in the United States has risen substantially enough to be concerning. In 2013 alone, one in every 96 homes reported one foreclosure. This prompts the question: what may be influencing this increase in foreclosures?

Lack of knowledge regarding the foreclosure process
One of the possible reasons behind the number of foreclosures is that homeowners aren’t familiar with the foreclosure process. Did you know that the state of California, for instance, has laws that regulate the opportunities and notices given to homeowners? This gives them a chance to pay the bank or mortgaging company before their property can be sold. Sadly, many homeowners are unaware of these opportunities.

If you’re unable to pay the mortgage on your home, you are also able to apply for forbearance before you go into default. Be sure to contact your bank or mortgaging company to consider your options before filing for foreclosure.

Zoning restriction
A zoning restriction, or zoning, is the division of a municipality into areas in which land can only be used for certain things such as residential use, farming, etc. While a zoning restriction is common enough, it may also have factored into the foreclosure crisis.

According to Tenants Together, “communities that zoned too strictly for the development of large, single-family homes have a higher risk for foreclosure when compared to areas that accommodate a broader spectrum of housing options.”

In other words, if too much housing is placed in the same high-price zone, then homebuyers who are unwilling to move elsewhere are forced to purchase a home they cannot afford only to fall to foreclosure within a series of years.

Failing to hire a real estate attorney
While not everyone needs an attorney, they can be highly beneficial, especially during real estate law cases such as a foreclosure case. A real estate attorney knows how to utilize evidence to its fullest extent and if anything was tampered with or illegally obtained, an attorney is more likely to notice and will be able to argue on your behalf. Without an attorney, your case may easily be lost.

Foreclosure is a difficult process. Ease your stress by keeping yourself informed about the legal process. Hire a real estate lawyer to help reduce anxiety during your case, and know you are not alone.

Every homeowners greatest nightmare is the realization they just might lose their home to foreclosure. Foreclosures happen around the country every day, with one in every 96 homes in 2013 being foreclosed on. This trend leave residents of those homes feeling hopeless and not knowing what to do. Luckily, there are some very useful things to keep in mind if you find yourself facing foreclosure. Here are just a few of them.

Pay Attention to Everything From Your Lender
Here is where having a real estate attorney comes in handy. They can read the fine print on all the documents you have received from your lender during the foreclosure process.

Your real estate attorney can also be of great help when determining the laws in your state. Real estate law can vary greatly depending on where you live. Luckily, it’s an attorney’s job to know the ins and outs of these laws, to better benefit you.

Listen to Your Attorney
Your real estate attorney can know whether or not you have enough to take your case to court. Real estate law cases can set precedent for your case and your lawyer will know how to look for them.

Foreclosing a home is a long process and it can allow you time to build your case. It is important to listen to your lawyer’s advice so that you can figure out what to do next. They will know how to handle situations like this.

Stay Calm
Having your home foreclosed on can be an immensely stressful experience. It is important you remind yourself to relax and think through your options. Getting frustrated and throwing in the towel seems like an easy option, but if you are patient and do your research, you can find a way through this.

Only around one-third of notices result in foreclosure. It’s important you know what you can do to be sure that you can keep your house. Look up government programs or lender alternatives that can help. Receiving a notice of foreclosure is far from the end if you know what to do to fight for your home.

No one wants to lose their home, although getting served a notice of foreclosure may very well feel like there is nothing you can do to prevent it. It is important to remember all the options available to you. We hope you found these tips to be helpful.

For more information on real estate law, please visit dijuliolawgroup.com

Sadly, one out of every 200 homes will be foreclosed upon. That might seem like a tiny percentage, but in a nation this large, that means millions of homeowners have faced the prospect of losing their home in just the past few years. The foreclosure process, and any case involving property law, for that matter, can be extremely complicated and overwhelming. For assistance during these trying times, working with experienced real estate attorneys can be tremendously helpful.

There are, however, a few other ways to prevent your home from being foreclosed upon. In addition to contacting an attorney, here are two of the most important.

Don’t Ignore Any Bills or Mortgage Issues

The easiest way to fall into repossession or homeownership trouble is to pretend like there is nothing wrong. Even if you are struggling financially, there are more effective ways to handle your situation than just hiding from your bills and ignoring all those unopened envelopes at your home. Contact real estate attorneys and other professionals who can helpbefore things get too difficult to overcome.

Mortgage lenders will typically sympathize with you if you are genuine, inform them of why you have missed payments, and show a clear commitment to repay your debts. Remember that the bank doesn’t want to foreclose on your home, which will cost them money, too. If you are rude, on the other hand, and just ignore your payments, you won’t find the help you need and you’ll end up in serious financial trouble.

Stay With the Plan

Once you’ve consulted with your real estate law firm’s attorney, mortgage lender, and any other professional lending a hand, it’s time to sit down and figure out the best way to get out of this unfortunate real estate situation. Determine whether or not there are steps you can take to protect your home, as, sadly, sometimes there are no other options. In the worst case scenario, you’ll have to just let the foreclosure process run its course, but you can always come back from that, as well. If you find out there is something you can do, it’s absolutely essential that you stick to that plan, no matter what.

You might find that you can protect your home if you cut additional expenses like eating out, expensive vehicle repairs, and premium television and Internet services. Whatever you plan out and decide to do, you cannot give up prematurely. The goal is to protect your home, so it’s on you to do everything in your power to do so — decide on a plan and stick to it.

Although the foreclosure process is incredibly nerve-wracking, as long as you act responsible, know who to contact, and stick with your new financial plan, you should at least set yourself up for the highest chance of success.

Approximately one in every 96 homes saw a foreclosure filing in 2013, a number that had fallen to one in every 122 in 2015. However, just because a home is foreclosed doesn’t mean it isn’t a worthwhile investment. In fact, for many home flippers, buying a foreclosed home represents a major opportunity.

Homes are foreclosed for a variety of reasons, and a foreclosure isn’t a sign of low value. If you’re looking into buying a foreclosed home, here are a few things you should know.

What Happens After the Foreclosure Process?
When a bank forecloses on a home, it means that the tenant experienced some form of financial issue. Because there’s nobody living in that home to make mortgage or rent payments, the bank loses money. As a financial institution, losing money neither looks good nor benefits them in any way. As a potential buyer, that’s where you come in.

Benefits of Buying a Foreclosed Home
The primary reason to buy a foreclosed home is the potential deal you may get on a beautiful house. Any real estate attorney can tell you that the foreclosing lender doesn’t want to hold on to the home because, as previously stated, they’re losing money while it’s in their possession. As a result, they may offer it at a much lower price than it would be listed otherwise.

Home Upgrades
If you want to buy a foreclosed home, you can use the status of the house to your advantage. Because of the typically lower price point, it’s often much easier to purchase a better home in a neighborhood that is more desirable to you.

Financial Gains
Because the price you paid for the home is below market value, the decision to sell, even if the home depreciates, can result in some serious financial gains.

Cons of Buying a Foreclosed Home
In some situations, the disadvantages outweigh the potential gains when buying a foreclosed home, but the potential issues will vary greatly from case to case.

Overdue Home Repairs
Unfortunately, foreclosed homes can fall into disrepair while they’re uninhabited. Real estate lawyers have begun referring to these houses as “zombie homes” because of their distressed status. While you might buy a home for a great price, you should take care to have it properly assessed to find out what kind of work needs to be done.

Inherited Debt
When buying a foreclosed home, you may become responsible for the debts left by the previous owner. Before purchasing, you should make sure to take the time to fully understand the potential financial burdens you may be taking on with a foreclosed home.

In the end, foreclosed homes aren’t much different than any other homes on the market, with one major difference: the price. While they may have some financial strings attached, the advantages outweigh the negatives in a vast majority of cases.

Property law can be confusing. If you aren’t a practicing real estate attorney who has gone through years of schooling on property law, you probably feel overwhelmed when it comes to real estate issues. Contracts, zoning restrictions, foreclosure processes, evictions, buying, renting, selling, etc., can all be extremely confusing.

The foreclosure process, for instance, is one of the most complicated aspects of property law — and it’s one of the most stressful situations to deal with. Here is how the foreclosure process works:

1. Missed Payment Notices — The first step in the process occurs after you’ve missed a few mortgage payments, when your bank will send you a missed-payment notice. You should pay your monthly mortgage before or on the due date, but most banks will allow a few days of a grace period. If you show no signs of payment, however, they’ll send the notice informing you
   that you need to pay as soon as possible to avoid further action.

 

2. Notice of Default — Once your missed payment becomes more than 30 days late, your bank can send you a notice of default (NOD). The NOD, which includes your personal and financial information detailing the specifics of the missed payment, essentially means that you have to pay or the bank will be forced to take supplementary actions.

 

3. Foreclosure Notice — If your bank believes you’re intentionally ignoring them, or are unsatisfied with your responses and/or continued lack of payment, you will eventually receive a foreclosure notice. This notice simply is just to inform you that the bank has initiated the foreclosure and scheduled the sale of your home.

 

4. Loss of Home — Once someone submits a winning bid at a home auction, or no one bids and the bank retains property rights, you’ll lose all rights to your home and will have to vacate.

Approximately one out of every 200 homes will be foreclosed upon. In 2013, one out of every 96 homes went into foreclosure. It’s a scary process and can be one of the most stressful times in a person’s or family’s life. However, it’s important to remember that a foreclosure isn’t the end of the world. It’s a rough setback to swallow, but if you’re careful and consult with the right people, you can get back on your feet.

You might even have an opportunity to buy back your foreclosed property.

If your home mortgage is at risk of foreclosure, you should contact a professional attorney immediately. Contact Dijulio Law Group today for real estate assistance in California.