Understand The Foreclosure Process

Myrtle Beach Foreclosure EvictionsMyrtle Beach Foreclosure – Understand the Process

You have heard a lot about foreclosures in the news media lately. The government has tried to step in and avoid foreclosures for some home owners. Exactly what is the Myrtle Beach foreclosure process? It is the actions your bank or mortgage holder takes when you default on your payment. The goal of the bank is to regain as much money as possible from the sale of your home to cover the original lien against the property. There is a misconception that this process can take years and the home owner is protected from eviction during that time. You will need to read your mortgage contract, but in many instances a bank can start the Myrtle Beach foreclosure process in as little as 15 days after you default on a payment.

The mortgage holder is not concerned with the reasons behind the default. It may be due to illness, loss of employment or even death of one of the principles on the loan. Once a payment has been missed, your property is at risk of Myrtle Beach foreclosure.

Steps in Myrtle Beach Foreclosure Process

For most home owners that are in default this can be a very distressing time. Some of the anxiety can be eliminated by taking the time to understand the Myrtle Beach foreclosure process and what it entails.

Communication is critical. The very first thing you should do if you think you are going to be late with your house payment is to contact the bank and ask them about their Myrtle Beach foreclosure process. Here are the three common processes:

Power of Sale. In most states this requires that a “Power of Sale” clause be included as part of your mortgage agreement. As soon as you default on your payments, the mortgage company will send you a notice demanding payments. These notices will continue until the waiting period has been met which is typically 90 days. If an agreement is not reached by the end of the waiting period, the mortgage company has the right to carry out a public auction to satisfy the Myrtle Beach foreclosure process. This is also referred to as a “Statutory Foreclosure.” You will be required to evacuate the property immediately after the waiting period is completed.

Strict Foreclosure. There are only a very few states that allow this type of foreclosure. In this case, the lender will file a lawsuit against you, the homeowner, due to default of payments. Usually the court will allow the home owner to bring the debt current. If you are unable to perform on the loan, the title to the property then goes directly to the bank or mortgage holder. Once the court has ruled, you will be expected to evacuate the property.

Judicial Myrtle Beach Foreclosure. South Carolina allows this type of Myrtle Beach foreclosure and in some states it is required. Once you have defaulted on your loan (and this can be as little as 15 days), the mortgage holder can file a suit with the judicial system. You will be notified by mail requesting that payment be made. You have 30 days to respond with a payment in order to stop the Myrtle Beach foreclosure process. If you do not make the required payment, the bank can then foreclose on the property and has the option of holding a public auction.

Laws will vary from state to state which is why you want to contact your mortgage holder before any Myrtle Beach foreclosure process starts. Don’t be afraid to ask what the banks specific foreclosure process is. You should also be able to find information on your state website.

The next step after you have contacted the bank and are familiar with their specific Myrtle Beach foreclosure process, you need to continue the discussion with the bank to determine what options you have available to avoid Myrtle Beach foreclosure. The bank may look at re-structuring the loan, allowing a short sale to take place, refinance the loan depending on your current income or they may accept a deed in lieu of the Myrtle Beach foreclosure. Keep in mind that a foreclosure is an expensive alternative for the bank so they will be open to a reasonable alternative than a Myrtle Beach foreclosure.

To recap, before you are surprised with a knock on the door and an eviction notice, you need to understand the Myrtle Beach foreclosure process. Keep open communication with the mortgage holder and be open as the homeowner to other options to solve your current problem.

Contacting a Myrtle Beach Real Estate agent can also be helpful. We can help you determine what you can expect in the case of a short sale. We will access the current value of your home and work with the mortgage holder to sell your home in a reasonable time frame and price.

Call us today – We are here to help you avoid Myrtle Beach foreclosure.

Jerry Pinkas Real Estate Experts
854 Jason Blvd #G, Myrtle Beach, South Carolina 29577
(843) 839-9870

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