The legal process of foreclosure usually takes how many months

Foreclosure processes are different in every state. If you are worried about making your mortgage payments, then you should learn about your state's foreclosure laws and processes. Differences among states range from the notices that must be posted or mailed, redemption periods, and the scheduling and notices issued regarding the auctioning of the property. However, a general understanding of what to expect can be found on our foreclosure timeline.

In general, mortgage companies start foreclosure processes about 3-6 months after the first missed mortgage payment. Late fees are charged after 10-15 days, however, most mortgage companies recognize that homeowners may be facing short-term financial hardships. It is extremely important that you stay in contact with your lender within the first month after missing a payment.

After 30 days, the borrower is in default, and the foreclosure processes begin to accelerate. If you do not call the bank and ignore the calls of your lender, then the foreclosure process will begin much earlier. At any time during the process, talk to your lender or a housing counselor about the different alternatives and solutions that may exist.

Three types of foreclosures may be initiated at this time: judicial, power of sale and strict foreclosure. All types of foreclosure require public notices to be issued and all parties to be notified regarding the proceedings. Once properties are sold through an auction, families have a small amount of time to find a new place to live and move out before the sheriff issues an eviction.

Judicial Foreclosure. All states allow this type of foreclosure, and some require it. The lender files suit with the judicial system, and the borrower will receive a note in the mail demanding payment. The borrower then has only 30 days to respond with a payment in order to avoid foreclosure. If a payment is not made after a certain time period, the mortgage property is then sold through an auction to the highest bidder, carried out by a local court or sheriff's office.

Power of Sale. This type of foreclosure, also known as statutory foreclosure, is allowed by many states if the mortgage includes a power of sale clause. After a homeowner has defaulted on mortgage payments, the lender sends out notices demanding payments. Once an established waiting period has passed, the mortgage company, rather than local courts or sheriff's office, carries out a public auction. Non-judicial foreclosure auctions are often more expedient, though they may be subject to judicial review to ensure the legality of the proceedings.

Strict Foreclosure. A small number of states allow this type of foreclosure. In strict foreclosure proceedings, the lender files a lawsuit on the homeowner that has defaulted. If the borrower cannot pay the mortgage within a specific timeline ordered by the court, the property goes directly back to the mortgage holder. Generally, strict foreclosures take place only when the debt amount is greater than the value of the property.

last reviewed: SEP 09, 2020

The legal foreclosure process generally can’t start during the first 120 days after you’re behind on your mortgage. After that, once your servicer begins the legal process, the amount of time you have until an actual foreclosure sale varies by state.

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If you are having trouble making your mortgage payments, act quickly. Contact your mortgage servicer to find out if there are options for you to avoid foreclosure. Respond to your servicer if they try and contact you.

You should also contact a HUD-approved housing counselor to get free, expert assistance on avoiding foreclosure. Many mortgage servicers offer programs to help people avoid foreclosure. These programs are called “loss mitigation” programs. The loss mitigation process can be difficult. A HUD-approved housing counselor can guide you through the process. You can call the CFPB at (855) 411-CFPB (2372) to be connected to a HUD-approved housing counselor in your area or you can search online for one near you.

Read this checklist on avoiding foreclosure .

Generally, homeowners have to be more than 120 days delinquent before a foreclosure can begin.

If you're behind in mortgage payments, you might be wondering how soon a foreclosure will start. Under federal law, in most cases, a mortgage servicer can't start a foreclosure until a homeowner is more than 120 days overdue on payments.

The 120-day preforeclosure period gives the homeowner time to:

• get caught up on the loan or
• apply for and, hopefully, work out a loss mitigation option, like a mortgage modification.

Applying for a foreclosure avoidance option might delay the start date even beyond the 120-day period.

Applying for Loss Mitigation Before Foreclosure Starts

If you turn in a complete loss mitigation application during the 120-day period, the servicer must evaluate the submission and inform you of the results before it can start to foreclose. Though, once the 120-day period expires, if you haven't brought the loan current or applied for (or received) a foreclosure alternative, the servicer will probably start a foreclosure.

Applying for Loss Mitigation After Foreclosure Begins

If you don't apply for loss mitigation during the 120-day preforeclosure period, you can still apply for a loss mitigation option after the foreclosure begins. (The servicer generally doesn't have to review multiple applications from you, though, unless you bring the loan current after submitting an application. Also, it's usually better to get the process rolling during the 120-day preforeclosure period—before you get even further behind in payments and foreclosure costs start to add up.)

Under federal law, so long as you submit your complete application more than 37 days before the foreclosure sale, the servicer can't ask for a judgment or order of sale, or conduct a foreclosure sale unless:

• the servicer denies your request (and any appeal period expires)
• you decline the loss mitigation option offered, or
• you fail to abide by a loss mitigation agreement.

Along with the 120-day preforeclosure period, federal law also provides you with various protections before and during a foreclosure.

Breach Letters: Warning Before Foreclosure Starts

Many mortgages and deeds of trust have a clause that requires the lender or servicer to send you a notice, commonly called a "breach letter," informing you that the loan is in default before it can accelerate the loan and proceed with foreclosure. (The acceleration clause in the mortgage or deed of trust permits the lender to demand that the entire balance of the loan be repaid if you default on the loan.)

Typically, the breach letter will provide the following information:

• the nature of the default (for example, you didn't make payments)
• the action required to cure the default (like you have to get current on the loan)
• a date by which you must cure the default, usually not less than 30 days from the date the notice is given, and
• that if you fail to cure the default on or before the date specified in the notice, this may result in acceleration of the debt and sale of the property.

If the 30-day time period expires and you haven't cured the default, foreclosure proceedings, which could be nonjudicial or judicial depending on the state and the circumstances, will begin. Most times, you'll get this letter during the 120-day preforeclosure period.

Your state's foreclosure laws might also require the servicer to send you some kind of preforeclosure notice.

Getting Help

To find out how to apply for a loss mitigation option, call your mortgage servicer. If you need more information about different ways to avoid foreclosure, consider contacting a foreclosure attorney or a HUD-approved housing counselor.

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