Have you received a foreclosure notice of default? Wondering what to do next?
To put it simply, a notice of default is a document sent from a lender indicating that they have began the process of foreclosure.
Notice of defaults are sent to people who have an active interest in the property. This includes other lenders, borrowers, contractors that are owed money, or anyone else associated with the piece of real estate.
Some people may feel that it is embarrassing, but the notice of default must also be put into the newspaper and visibly posted somewhere on the property.
In the past, people were just foreclosed on.
Before the law was put into place that required a notice of default to be sent out, home owners were foreclosed on immediately. In fact, it’s happened even in the past few years – at least one bank has accidentally foreclosed on the wrong property and kicked people out of their house without due process or warning. It’s happened in Arkansas a few times.
The notice of default is so important because it notifies people who are financially associated with the property to claim what is there before the banks takes ownership.
It is so imperative to act quickly if you receive a notice of default. You won’t have a whole lot of time to wait around and decide what to do.
Here are a few key steps you should take:
1) Keep your cool.
This situation cannot be solved overnight. You will most likely be experiencing some stress and panic but you must stay calm. When you panic, you may make an illogical decision. Stay mentally clear and always do what is right for your family.
2) Educate yourself.
There are tons of free resources online that will bring you up to speed on foreclosure in Arkansas. You should always know what the next steps are going to be.
3) Gather your resources.
The government provides resources to help and there are also nonprofit organizations who were created to help homeowners in these distressed situations. The message here is clear: get some help and don’t try to tackle everything by your self. Working with banks and the law can get tricky and you need some assistance.
4) Learn your options.
Our company helps people avoid foreclosure. We buy houses with cash. We can help you with short sales and even rent-back situations so you (potentially) may be able to keep living in your home. If you want to sell your home for cash and downsize we can help you with that as well.
The banks involved don’t want your property. They want money, and what you say matters a lot. You can slow down or stop the foreclosure process if you take the appropriate action.
Want to know more?