Wrongful Foreclosure Attorneys

ABOUT WRONGFUL FORECLOSURES


Home Foreclosure Stages


If a home is at risk of being foreclosed, the process that a bank has to go through to foreclose a home can be long and often provides the homeowner with enough time to make amends or come up with a strategy to help stay in the home as long as possible. In other cases, some foreclosures may not be allowed and are considered wrongful. These types of foreclosures can be fought with the help of wrongful foreclosure attorneys in Albuquerque, New Mexico. It’s important to understand the various rules and stages of a foreclosure so that you can protect yourself and your home.

By definition, a foreclosure happens when a property owner cannot make payments on his or her loan, and because of this the bank asks a court to allow them to seize the home. A foreclosure action has multiple stages in Albuquerque, New Mexico; first there is a Notice of Default that must be sent after one or more missed payments; second, the bank files a foreclosure lawsuit and asks the court for a judgment; third, if a judgment is granted by the court there is a public sale where the house is auctioned off, usually resulting in the bank gaining ownership; fourth, there is a redemption period that may last from one to nine months where if the borrower can pay off the judgment amount entirely they can keep the property; finally, if nothing is done to challenge the previous steps, the bank may take possession of the property and evict the homeowner.


Pre-Foreclosure Period and Notice of Default


The first step that begins a foreclosure is when the bank sends the borrowers a notice informing them that they have missed one or more payments. Once the notice is sent, the bank can then legally file a lawsuit with the court. If you get a Notice of Default and you believe that you are current on payments the bank may be attempting a wrongful foreclosure.


Foreclosure Lawsuit


At some point after the bank send a Notice of Default, they may eventually file a complaint in court against the borrowing homeowner and any other individuals who have a claim in the property. Once the pending lawsuit is filed, the lender must give the borrower an in-person notice to the homeowner, who then has thirty days to answer the complaint. If the borrower does not answer, the lender may then finalize the foreclosure through a process called default judgment where they publish a notice of the pending lawsuit once per week for a certain number of weeks in a local newspaper. If there is still no response after that, the court may grant the bank the right to foreclose without further hearing.


Judgment


Once a judge grants the bank a foreclosure judgment it becomes more difficult to end or prevent foreclosure proceedings, but there are still many things that a borrower can to challenge the judgment and get it set aside, especially if there was a wrongful foreclosure. If you have a foreclosure judgment against you, contact a wrongful foreclosure attorney in Albuquerque right away.


Notice of Sale and Auction


After a foreclosure judgment has been issued, the bank may then provide you with a Notice of Sale that states a specific date and time when an auction for your property will occur. Do not worry, you will not get kicked out of your house the day of the auction in New Mexico, but if you receive a notice of sale you have very little time remaining to challenge the foreclosure. Most commonly only the bank bids at these auctions, and after the sale is approved by the court, the bank becomes the legal owner of the property and can begin eviction proceedings. If you have been wrongfully foreclosed and have received a Notice of Sale, do not hesitate to contact a wrongful foreclosure attorney in Albuquerque, New Mexico.


Redemption Period


After a court approves a foreclosure sale, you are still entitled to redeem the property for a certain amount of days after the sale is approved. The amount of days varies depending on the mortgage but is typically 30 days. In order to redeem the property you will have to pay the bank 100% of the amount that was bid at the foreclosure sale. This is frequently impossible for many people as the amount owed is so great. However, at this point in the proceedings you may be getting calls from many investors who wish to buy your redemption rights from you. If you need help redeeming a property or questions regarding selling your redemption rights, contact a foreclosure attorney in Albuquerque, New Mexico right away.

If your home is at risk of being foreclosed, you are struggling with your finances, you are concerned about foreclosure being a risk in the near future, or if you believe that a lawsuit is not justified, you should contact a wrongful foreclosure attorney in Albuquerque like Eric Ortiz & Associates. Attorneys who focus on foreclosure defense can help make sure you have the knowledge you need to make the right decisions.