| Foreclosure law varies from state to state | | | | makes foreclosure a judicial procedure. A |
| with regards to the exact process that must | | | | lender must prove to the court that the |
| be followed in order for a bank or lender to | | | | borrower has defaulted on the loan, and that |
| foreclose on your home. Knowing the | | | | they, the lender, have made appropriate |
| foreclosure law in your state can help you | | | | attempts to resolve the default with the |
| negotiate with your lender and perhaps avoid | | | | homeowner. There is a definite sequence of |
| foreclosure altogether.One of the largest | | | | events that must be followed as prescribed in |
| differences in foreclosure law is whether a | | | | the foreclosure law, and knowing that |
| state uses mortgages or deeds of trust for | | | | sequence in your state can help you |
| real estate. "Deed of trust" is a term that's | | | | understand your options in terms of resolving |
| not heard as often as mortgage, but in | | | | the issue before it goes before a judge.In |
| essence, they have the same function - they | | | | states that use a deed of trust rather than a |
| protect the lender from default on a loan | | | | mortgage, the lender must go through certain |
| that is secured by real estate. The major | | | | steps of notification as required by |
| difference is in the process the lender must | | | | foreclosure law in that state, but does not |
| use to obtain the right to recover your | | | | need judicial permission to proceed with a |
| property and sell it.When you sign a mortgage | | | | sale or foreclosure on the property to which |
| agreement with a lending institution, you | | | | they hold a deed in trust.States whose |
| retain the deed to the property, and have | | | | foreclosure law requires judicial action |
| full legal title to it - but you allow the | | | | include: Alabama, Arizona, Arkansas, |
| lender to place a 'lien' on it. If you do not | | | | Connecticut, Delaware, Florida, Montana, |
| make the payments on the loan as agreed upon, | | | | Nebraska, New Jersey, New Mexico, New York, |
| the lender can foreclose on the property.In | | | | North Dakota, Ohio, Oklahoma, Illinois, |
| some states, a deed of trust takes the place | | | | Indiana, Iowa, Kansas, Kentucky, Louisiana, |
| of a mortgage. With a deed of trust, you give | | | | Maryland, Michigan, Pennsylvania, South |
| the deed to the land or property to the | | | | Carolina, South Dakota, Vermont, Washington |
| lender, but the lender can only use or sell | | | | and Wisconsin.Brian Shelton makes it easy to |
| the property if you default on the loan.In | | | | sell your house fast. |
| states that use mortgages, foreclosure law | | | | |