When an owner of a home defaults on their loan or property taxes that are tied to the home, this could result in a “Tax Foreclosure.” The financial lender will then take possession of the home because the owner has become unreliable in paying the taxes or mortgage of the home/property. Home owners need to be proactive in paying taxes, as well as their monthly mortgage to avoid tax foreclosure.
Each state varies when it comes to tax foreclosure. Some states implement an easy foreclosure plan, in which you only have to go through a county court appeal. Some even just have an application process to gain the deed of the property. Other states may make the default owner deal through a lawyer, which can lead to a lot of money, and become very time consuming.
The United State’s has two types of property foreclosures that are utilized in almost all common law states. The first is called, deed in lieu of foreclosure. This is where the bank will take over the title and occupancy of the property to satisfy the outstanding debt. This is simply known as foreclosure. The home will then end up selling in a public sheriff’s auction. This process is also sometimes called judicial foreclosure.
Other states take on a process known as non-judicial foreclosure. This is where a lawyer will act as a representative for the owner, and present a notice to the financial institution explaining the default. This notice will also have the intent of the owner to sell the property that is within the guidelines of the state that the property is in. This process is also referred to as statutory foreclosure.
All details about the property auctions can be obtained through the county clerk of court office or courthouse. If you are endanger of foreclosure, I can provide you with some quick sell options. This will help you eliminate going through a foreclosure process and damaging your credit. Contact me today to go over all your options. Foreclosure can become a lengthy process that can be very stressful, and I have solutions that will help you avoid it.