How long does it take for the bank to foreclose

Real Estate Agent with Keller Williams Legacy One

How long will it take for the bank to foreclose once you start missing payments?  This is one of the most frequently asked questions, and the answer is one of much confustion - "IT DEPENDS."  I have a friend  who has missed 4 payments, and it appears that the servicer started the foreclosure process after only two missed payments.  I have clients who have missed 18 months worth of payments and the servicer has not initiated the foreclosure process as of yet.  The old school of thought was "you have time."  While that may have worked a year ago, times are changing and this may no longer be the "norm."   

The most responsible thing a homeowner can do is to keep in communication with the loan servicer.  Most of the time when a homeowner stops making their payments they do not communicate with the servicer.  Communicating with the servicer can be emotionally draining, however, it can also let the servicer know that you are doing what you can to stay in your home.

Comments (2)

June Piper-Brandon
Coldwell Banker Residential Brokerage - Ellicott City, MD
Piecing Dreams One Home at a Time

Janet, this probably is the most frequently asked question and it really depends on the lender, the kind of loan and how much equity is in the home. 

Sep 04, 2010 07:46 AM
Jimmy Katz
Wynd Realty & Katz Realty Group - Alpharetta, GA
"REAL Solutions for Real Estate!"

i know people on 2 years plus

Sep 04, 2010 08:40 AM