What to Expect if You are Facing a Mortgage Foreclosure

What to Expect if You are Facing a Mortgage Foreclosure

If you are an Indiana resident who is facing home foreclosure, then you need to know that you have certain protections and rights as a borrower. For example, you have the right to reinstate your mortgage and stop the foreclosure proceedings by catching up on any past due payments. Having an experienced foreclosure attorney on your side can help you understand these rights and make sure that they are protected.

What to Expect During Foreclosure Proceedings

Foreclosures in Indiana are judicial, which means that a foreclosure must be filed as a lawsuit in the court. There are several steps in the process, and although they may vary a little, the following is what you can expect:

Preforeclosure Notice: If your primary residence is the home being foreclosed on, the foreclosing entity is required to give you a 30-day notice before filing the complaint in court. The notice must inform you that you are in default, encourage you to seek assistance from a foreclosure counselor, and inform you of your rights after the judgment for foreclosure takes place.

• Complaint and Summons: This will be a notice served to you to notify you of the lawsuit. You will have 20 days to file a written response to the complaint with the court.
• Notice of Foreclosure Settlement Conference: This summons is required to notify you about the option to participate in a conference before the foreclosure settlement to try to work out an alternative to the foreclosure.
• Notice of Sale: Before being sold at a foreclosure sale, the Sheriff will post a notice of the sale advertising the sale at the courthouse for three weeks with the first notice taking place a minimum of 30 days before the sale. This sale notice must also be served to you by the sheriff.

Protections from Foreclosure

Indiana statutes provide protections against foreclosure for some borrowers. The Servicemembers Civil Relief Act protects members of the Indiana National Guard and other military service members who have been ordered to active duty for at least 30 consecutive days from mortgage foreclosure.

Borrowers who have a high-cost home loan may be able to raise violations of the statute which prohibits increasing interest rates after default and balloon payments, among other things. In some situations, the borrower may cure the default and reinstate the loan until the title is transferred to the purchaser after the sale.

Reinstatement and Redemption

Reinstating a mortgage is when the borrower cures the default payments to stop the foreclosure. As long as the borrower reinstates before the court renders a judgment, under Indiana laws, the foreclosure must be dismissed.

In some states, even after the foreclosure has been finalized, the borrower can redeem, or repurchase, the home within a certain amount of time. However, in Indiana, this is not allowed.

How a Mortgage Foreclosure Attorney Can Help

The process of going through a mortgage foreclosure can be scary and confusing, especially when you are facing the possibility of losing your home. That is where a mortgage foreclosure attorney can help. The attorneys at Whitten & Whitten have over 20 years of experience helping clients through the process of mortgage foreclosure. They can advise you of your rights and make sure that you are getting the treatment that you deserve under Indiana Laws. Contact them today to schedule a consultation.