The process of judicial foreclosure is long, complex, and varies from state to state, jurisdiction to jurisdiction, and sometimes from judge to judge. Nonetheless, we have distilled the foreclosure process to create an action timeline to manage and monitor the progress of each of our clients’ cases. Because so much of the foreclosure process is outside of our direct control, we aggressively manage each foreclosure to eliminate as much lead time as possible from complaint to sale. Our standard provides an aggressive basis for exception reporting and daily lead-time analysis by our management team. We constantly strive to create and improve upon a workflow process that reduces the amount of time it takes for our client to recover its asset, but without sacrificing the quality of the process. Under Kentucky law, the new owner from the foreclosure sale gets the right to possess the property after giving you a 10 days’ notice in writing.

I have had the stack of documents alone be over three feet tall from a discovery request. Upon receiving the complaint, the homeowner has a limited time to respond, in Kentucky this is 20 days. This response, known as an “answer,” allows the homeowner to present any defense or objection to the foreclosure. A proper complaint can be as short as three to four pages and about 15 to 20 paragraphs setting forth just enough to obtain a default judg. A proper answer will often be much longer than the complaint and refer to federal mortgage servicing laws.

A Chapter 7 bankruptcy is a good option if you wish to surrender the home or if you are close to current on your mortgage and wish to keep the home. If it would only take a couple of months to catch up and the mortgage company will accept the payment the 4 months a Chapter 7 takes may give you that time. Chapter 13 is the primary tool that allows a homeowner to keep a home. A homeowner may take up to 5 years to catch up on the mortgage and may be able to strip (eliminate) a second home mortgage if there is no equity for the second mortgage. You may also be able to complete a mortgage modification by filing a Chapter 13 bankruptcy so you can take the time to complete a sale of the home or loss mitigation application. Until the home is transferred to the new owner and the redemption period has passed there is a chance to recover the home if the sale price was too low.

The homeowner will also have the opportunity to try to negotiate a way to avoid losing avoid foreclosure. If you’re facing foreclosure and you want to defend against it, working with a foreclosure attorney is your best bet. Defending against a bank, a mortgage company, or another lender can often be a confusing process.

Servicers generally must provide borrowers with loss mitigation opportunities, account for each foreclosure step, and carefully comply with foreclosure laws. In order to redeem the property, you must pay off the amount that you owe on your loan before the foreclosure sale begins. In Kentucky, you also have what is known as a redemption period. A redemption period allows borrowers to buy back their home after the foreclosure sale. Kentucky law allows a redemption period of six months if the home is sold for less than two-thirds of its appraised value.

Chapter 13 Bankruptcy

Our family was facing foreclosure and Kentucky Solutions was able to buy our house even though we had no equity. If the judge signs the order, the case is sent back to the commissioner’s office to prepare the notice of sale and two appraisers are sent to do a drive-by inspection of the property. The notice of sale is posted at or near the property in foreclosure and advertised in the local paper three times in the three weeks prior to the sale. In the United States, bankruptcy is governed by federal law, commonly referred to as the “Bankruptcy Code” (“Code”).

Louisville And Southern Indiana Foreclosure Attorney

When dealing with something as important as your home, you want to ensure you receive the best legal advice. If you’re pursuing an alternative to foreclosure, like a loan modification, you could benefit from being in default. Loan modifications are a type of refinancing that can help you avoid foreclosure proceedings. To learn more about loan modifications and other options to prevent a foreclosure, your lender or a Kentucky foreclosure attorney can help. However, not all short sales are for a pre-foreclosure property. If homeowners know their home is impending foreclosure, they may begin the short sale process.

Assets can be things like a second car that has been paid off or jewelry. If you sell them, you could use the cash to help reinstate your loan. Even if these efforts don’t significantly increase your available cash or your income, they demonstrate to your lender that you are willing to make sacrifices to keep your home.

If not, there is still a chance that you can negotiate reinstatement with your lender. If you face sudden expenses, such as medical bills or a lawsuit, which put a serious but relatively short-term strain on your finances, you should notify your lender immediately. You might find that they are willing to accept lower payments, if this will prevent you from defaulting. Some states treat mortgages as “non-recourse loans.” A non-recourse loan is one that is secured by the borrower’s property, but for which the borrower is not personally liable.

Mediation is a defense that is available at the start of the case. Along with that are the affirmative defenses, and federal mortgage servicing laws which may not have been followed. There are over 120 different defenses and all the many programs to get your home our of foreclosure. In Kentucky, the foreclosure process can be either judicial or nonjudicial. A judicial foreclosure requires the lender to file a lawsuit against the homeowner, while a nonjudicial foreclosure allows the lender to foreclose on the property without going to court.

But if you choose to defend the foreclosure lawsuit, the case will go through the litigation process. The lender might then ask the court to grant summary judgment. [newline]A summary judgment motion asks that the court grant judgment in favor of the lender because there’s no dispute about the critical aspects of the case. If the commissioner recommends that the court should grant the motion, and the court agrees, the court will enter a judgment for the lender.

The Only Louisville Zip Code Guide You’ll Ever Need exploringlouisville.com ? When the property transfers out of your name these maintenance items are no longer your responsibility. Also, when the property transfers, many of the items such as the property taxes are paid. It was a tough situation we were in and we really appreciate your assistance. I was able to keep my house after my wife passed away…Kentucky Solutions is a life saver. Whether you need help planning for your family or you are dealing with the loss of a loved one, we can help.

If you default on your mortgage payments for your home in Kentucky, the foreclosure will be judicial. Also, most people who take out a loan to buy a residential property in Kentucky sign a promissory note and mortgage. These documents usually give homeowners certain contractual rights after a home loan default. Inadequate disclosures are just one common mistake the lenders make in the rush to close a home loan under TILA. They must provide clear disclosure for all fees, costs, interest rates, and charges for the financing and closing.

It prevents the sloppy paperwork you commonly find in early mortgage loans. The Truth in Lending Act gives borrowers the benefit of the doubt. The TILA right of rescission will temporarily stop foreclosure actions and may allow a borrower to walk away from the foreclosure. Although damages under the statute are often minor, a lender may offer a modification or workout as a response. Missed payments can lead to foreclosure actions, and TILA plays a crucial role in protecting borrowers by ensuring transparency and fairness in the lending process.