Legal Question in Real Estate Law in Texas

Re: forclosure preceedings

Howdy:

To finish answering your question, once a foreclosure begins, most lenders, especially big mortgage companies, will always allow you to pay the loan current. This is called "redemption". Call the mortgage company and ask for a redemption amount. This will typically be the payments you�re behind and legal fees. The legal fees will be substantial � a couple of thousand dollars. But, it is better than losing all the equity.

Very rarely will a mortgage company allow you to pay out the deficiency. You�ll have to either send them a certified check or wire them the money.

Once you redeem the loan, make sure they send you a reinstatement letter right away, and it�s always a good idea to go to the courthouse on the day the sale is scheduled with the reinstatement letter to ensure the house doesn�t sell anyway.

rkr

Re: forclosure preceedings

It is required that a lender give you notice of its intent to foreclose. You will get a letter telling you the lender intends to accelerate the note, i.e. the whole not is due, then a letter telling you the note has been accelerated along with a notice of foreclosure which will be the first Tuesday of a month at least 21 days from the date of the notice. There are ways to stall the foreclosure and to pay the back payments in installments if you want to keep your home. Chap 13 bankruptcy is one of the ways. Call me if you wish to discuss. Larry Maun 713.266.2560