If you’re concerned about your property going into foreclosure due to circumstances beyond your control, the optimum scenario would be to work with your lender for a resolution before things go any further. However, going through the foreclosure process can be made easier when homeowners understand what lies ahead, so read on as we explore what homeowners in Massachusetts can expect during the foreclosure process.
Default
Lenders understand that homeowners in Massachusetts may go through temporary financial hardships, often having a grace period for these situations. However, suppose you’ve fallen behind and don’t see any options on the horizon. In that case, you can expect the lender to contact you in every way possible during the foreclosure process, attempting to work out a payment arrangement to avoid further action. This communication may include phone calls, letters, and emails, urging you to resolve the missed payments. It’s crucial to respond to these attempts as early negotiations can sometimes result in modified payment plans or temporary forbearance to help you get back on track.
Notice of Default
Lenders will issue a notice of default to homeowners in Massachusetts, which gives you 90 days during the foreclosure process to pay the bill. This notice is a formal declaration that you are in default on your mortgage. It typically includes details about the amount you owe, including missed payments, late fees, and any other charges. During this 90-day period, it’s essential to communicate with your lender to explore potential solutions such as loan modification, repayment plans, or even refinancing options
Mortgage Reinstatement
Homeowners in Massachusetts who have entered the foreclosure process but can catch up with past due payments, including interest and any penalties, can stop the process at this point by working with the lender to reinstate the mortgage, then continue paying their mortgage as usual. Reinstatement is typically allowed up until the day before the foreclosure sale. This option can be particularly helpful if you’ve experienced a temporary financial setback but now have the means to bring your mortgage current
Notice of Sale
Once 90 days have passed after the notice of default, the next step homeowners in Massachusetts can expect during the foreclosure process is the notice of sale; within 21 days, the property will be put up for auction by the trustee (the lender). This notice will be publicly recorded and typically posted at the property and published in local newspapers. It includes important information such as the date, time, and location of the auction. This period allows homeowners a final opportunity to sell the property independently or arrange financing to pay off the default amount.
Auction
During the foreclosure process, the final step for homeowners in Massachusetts is the auction, where the winning bidder must pay for the property immediately. Should the home not sell at auction, it will become what is known as an REO or real estate owned property, converting back to the lender. If you’ve yet to vacate the premises, you can expect the buyer to serve an eviction. With an REO, the lender may attempt to assist you with moving, offering cash for keys to attain possession. Auctions can be unpredictable, and while some properties may attract competitive bids, others might not, leading to the lender taking ownership and selling it through traditional real estate channels.
Another Option
For homeowners in Massachusetts facing foreclosure, there’s another option: a direct sale to local professional buyers like those at Gaeta Properties. First, the professional buyers at Gaeta Properties will detail the expenses and what you’d profit by listing your property, advising you of the average days on the Massachusetts real estate market. Then, professional buyers from Gaeta Properties provide you with the numbers used to make their offer to buy your home directly, which we want you to agree is fair. And we’ll provide you with a guaranteed closing date, often within days. We do this at Gaeta Properties for two reasons. First, we want you to make an educated decision about what is best for your situation. Secondly, at Gaeta Properties, we are your neighbors here in Massachusetts, living and working alongside you, a part of the community; we want you to feel good about the deal long after you’ve left the closing table. This option can provide a quicker, more straightforward solution to avoid the lengthy and stressful foreclosure process.
Gaeta Properties
Selling directly to Gaeta Properties can turn everything around for homeowners in Massachusetts facing foreclosure; our goal is to save you time and money. A direct sale means no commissions, closing costs, or hidden fees; our policy at Gaeta Properties is complete transparency and no pressure. And, to save you even more money, at Gaeta Properties, we buy houses as-is for cash in Massachusetts, meaning you can keep your wallet in your pocket and forget about prepping, repairs or cleaning. You can even pick the date for your closing with a direct sale to a professional buyer from Gaeta Properties, talk to us about the arrangements that would work best for you. Call Gaeta Properties at (781) 258-6976.