What is a Foreclosure?

A foreclosure is an action taken against a property owner by seizure of his/her real property. It can be for many reasons. The main cause is delinquent payments on a mortgage. The mortgage company or second and even third mortgage holders contact the owner, then the trustee (usually an attorney) to begin the process. If it is VA guaranteed or FHA insured, many times they offer assistance or alternatives. Then the appraisal is ordered to determine fair market value.

It can also be for medical bills, delinquent taxes and other liens, even credit cards. "The purpose of this foreclosure is for collection of a debt" is usually printed in the legal section of the newspaper as well as some other publications, such as local business papers and law papers.

Many people feel that they can purchase these properties for almost nothing and sometimes that is the case, especially tax sales. If the property is " free and clear" of other liens then it is solely based on the taxes, penalties and interest due. I know of some that have sold for less than a few thousand dollars.

The owner has the right to cure the default right up to the very last minute before the sale. A pay off statement is prepared including the delinquent payments, trustee fees (usually 5 % of the remaining balance of the loan), processing fees, property inspections, appraisal and any other thing the mortgage company can think of. The problem is not only coming up with the funds but knowing what charges are and if they are legitimate. I have only heard of lawyers and accountants challenging mortgage companies on over or false charges. Please rate and tell friends.

Suzie has been in the business twenty years as a licensed real estate agent, broker and certified residential appraiser who majored in real estate and architecture. She hopes to improve the industry one step and one person at a time. Other professionals in the same fields as well as educators have contibuted.

MORE RESOURCES:

Hypo Real Estate Gets EU20 Billion Guarantee From Rescue Fund - Bloomberg

table border=0 width= valign=top cellpadding=2 cellspacing=7trtd width=80 align=center valign=topfont style=font-size:85%;font-family:arial,sans-serifa href=http://news.google.com/news/url?sa=Tct=us/0i-0fd=Rurl=http://www.washingtontimes.com/news/2008/nov/22/virginia-asks-navy-to-delay-base-move/cid=1272970285ei=etQnSYzHAaqi9gSeiqQKusg=AFQjCNGVbdathGLLwb5iZM9PBs-sIEWWXAimg src=http://news.google.com/news?imgefp=sFePmluJNTwJimgurl=media.washingtontimes.com/media/img/photos/2008/11/20/AUTO_001_r329x151.JPG%3Fe315d4515574cec417b1845392ba687dd98c17ce width=80 height=37 alt= border=1brfont size=-2Washington Times/font/a/font/tdtd valign=top class=jfont style=font-size:85%;font-family:arial,sans-serifbrdiv style=padding-top:0.8em;img alt= height=1 width=1/divdiv class=lha href=http://news.google.com/news/url?sa=Tct=us/0-0fd=Rurl=http://www.bloomberg.com/apps/news%3Fpid%3D20601100%26sid%3Da_tWZcQXw0Pw%26refer%3Dgermanycid=1272970285ei=etQnSYzHAaqi9gSeiqQKusg=AFQjCNHO2JYHCmv1ptTZ9VnDpdeP7QIsIQHypo bReal Estate/b Gets EU20 Billion Guarantee From Rescue Fund/abrfont size=-1font color=#6f6f6fBloombergnbsp;-/font nobr16 hours ago/nobr/fontbrfont size=-121 (Bloomberg) -- Hypo bReal Estate/b Holding AG, the German property lender bailed out by the German government and financial institutions last month, b.../b/fontbrfont size=-1a href=http://news.google.com/news/url?sa=Tct=us/0-1fd=Rurl=http://www.google.com/hostednews/ap/article/ALeqM5iUnm1V9WJblKt9BR2u9troModrrwD94JFGBG0cid=1272970285ei=etQnSYzHAaqi9gSeiqQKusg=AFQjCNHeuhOOhJufq977cfL0C-OUy3mgYwHypo bReal Estate/b to receive euro20 billion loan/a font size=-1 color=#6f6f6fnobrThe Associated Press/nobr/font/fontbrfont size=-1a href=http://news.google.com/news/url?sa=Tct=us/0-2fd=Rurl=http://www.guardian.co.uk/business/feedarticle/8057611cid=1272970285ei=etQnSYzHAaqi9gSeiqQKusg=AFQjCNFCjZwizoOr4YEM1ulp893DfaUIVw1-Hypo Real gets 20 bln euros in govt guarantees/a font size=-1 color=#6f6f6fnobrguardian.co.uk/nobr/font/fontbrfont size=-1a href=http://news.google.com/news/url?sa=Tct=us/0-3fd=Rurl=http://www.ad-hoc-news.de/DGAP-Adhoc-DEPFA-Deutsche-Pfandbriefbank-AG-SoFFin--/de/Unternehmensnachrichten/19883103cid=1272970285ei=etQnSYzHAaqi9gSeiqQKusg=AFQjCNGN0-5NCj86kcydJPJw3bq-_3VOKADGAP-Adhoc: DEPFA Deutsche Pfandbriefbank AG: SoFFin grants EUR 20 b.../b/a font size=-1 color=#6f6f6fnobrAd-Hoc-News (Pressemitteilung)/nobr/font/fontbrfont class=p size=-1a class=p href=http://news.google.com/news?sourceid=navclientie=ISO-8859-1rls=GGLG,GGLG:2005-22,GGLG:enncl=1272970285hl=ennobrall 115 news articles/nobr/a/font/div/font/td/tr/table

Target rejects Pershing#39;s proposals on real estate structure - MarketWatch

table border=0 width= valign=top cellpadding=2 cellspacing=7trtd valign=top class=jfont style=font-size:85%;font-family:arial,sans-serifbrdiv style=padding-top:0.8em;img alt= height=1 width=1/divdiv class=lha href=http://news.google.com/news/url?sa=Tct=us/1-0fd=Rurl=http://www.marketwatch.com/news/story/target-rejects-pershings-proposals-real/story.aspx%3Fguid%3D%257B677B96B0-0937-41A1-8F0F-2A51CB077AD5%257D%26dist%3Dmsr_3cid=1273025777ei=etQnSYzHAaqi9gSeiqQKusg=AFQjCNFBLNC7qH1YEkDnfOQU9mf6vNJlcATarget rejects Pershing#39;s proposals on breal estate/b structure/abrfont size=-1font color=#6f6f6fMarketWatchnbsp;-/font nobr10 hours ago/nobr/fontbrfont size=-1Ackman had proposed that Target spin off the land it owns into a breal estate/b investment trust in a bid to boost the company#39;s value. b.../b/fontbrfont size=-1a href=http://news.google.com/news/url?sa=Tct=us/1-1fd=Rurl=http://online.wsj.com/article/SB122731689706849897.html%3Fmod%3Dgooglenews_wsjcid=1273025777ei=etQnSYzHAaqi9gSeiqQKusg=AFQjCNF0SvFBILNTeBR5OPR_PUXn_1aHmgTarget Corp. Won#39;t Pursue Pershing bReal-Estate/b Plans/a font size=-1 color=#6f6f6fnobrWall Street Journal/nobr/font/fontbrfont size=-1a href=http://news.google.com/news/url?sa=Tct=us/1-2fd=Rurl=http://www.reuters.com/article/ousiv/idUSTRE4AK7XV20081121cid=1273025777ei=etQnSYzHAaqi9gSeiqQKusg=AFQjCNGiQrCCK_1_hEOwMWxYsUN6c48hKATarget rejects Pershing#39;s breal estate/b proposal/a font size=-1 color=#6f6f6fnobrReuters/nobr/font/fontbrfont size=-1a href=http://news.google.com/news/url?sa=Tct=us/1-3fd=Rurl=http://www.bizjournals.com/twincities/stories/2008/11/17/daily51.htmlcid=1273025777ei=etQnSYzHAaqi9gSeiqQKusg=AFQjCNFIgj-phRtFY_k_xYGbU9tzAdq5BgTarget rejects Pershing#39;s breal estate/b proposal/a font size=-1 color=#6f6f6fnobrBizjournals.com/nobr/font/fontbrfont size=-1 class=pa href=http://news.google.com/news/url?sa=Tct=us/1-4fd=Rurl=http://newsticker.welt.de/index.php%3Fchannel%3Dfin%26module%3Dsmarthouse%26id%3D814291cid=1273025777ei=etQnSYzHAaqi9gSeiqQKusg=AFQjCNGDghGaVb0fsrA_2YgBPpXMDL1PTwnobrWELT ONLINE/nobr/anbsp;- a href=http://news.google.com/news/url?sa=Tct=us/1-5fd=Rurl=http://uk.reuters.com/article/consumerproducts-SP/idUKN2149409720081121cid=1273025777ei=etQnSYzHAaqi9gSeiqQKusg=AFQjCNHSHuyj99CfPUaN6pOhjXpVa_Rd_gnobrReuters UK/nobr/a/fontbr/font class=p size=-1a class=p href=http://news.google.com/news?sourceid=navclientie=ISO-8859-1rls=GGLG,GGLG:2005-22,GGLG:enncl=1273025777hl=ennobrall 414 news articles/nobr/a/font/div/font/td/tr/table

Real-estate agents to buyers: Can we talk? - Seattle Times

NAR, REAL ESTATE CHANNEL Create Online News Partnership - MarketWatch

Web sites offer real estate agent rankings - The Associated Press

Real-estate investment firm fights to stay afloat - Arizona Republic

Pure Industrial Real Estate Trust announces November distribution - FOXBusiness

Real estate recovery not seen until 2011 - Seattle Post Intelligencer

Citigroup says commercial real estate bigger issue now for banks - Reuters

table border=0 width= valign=top cellpadding=2 cellspacing=7trtd width=80 align=center valign=topfont style=font-size:85%;font-family:arial,sans-serifa href=http://news.google.com/news/url?sa=Tct=us/8i-0fd=Rurl=http://www.reuters.com/article/topNews/idUSTRE4AJ45G20081120cid=1273013942ei=etQnSYzHAaqi9gSeiqQKusg=AFQjCNFR3xiQ_LsjSl013P5JDAnDjN2PHQimg src=http://news.google.com/news?imgefp=a4_5Az-9orAJimgurl=www.reuters.com/resources/r/%3Fm%3D02%26d%3D20081120%26t%3D2%26i%3D6894209%26w%3D192%26r%3D2008-11-20T221527Z_01_BTRE4AJ182400_RTROPTP_0_AIRBUS-ALWALEED width=80 height=58 alt= border=1brfont size=-2Reuters/font/a/font/tdtd valign=top class=jfont style=font-size:85%;font-family:arial,sans-serifbrdiv style=padding-top:0.8em;img alt= height=1 width=1/divdiv class=lha href=http://news.google.com/news/url?sa=Tct=us/8-0fd=Rurl=http://www.reuters.com/article/innovationNewsFinancialServicesAndRealEstate/idUSTRE4AK6KA20081121cid=1273013942ei=etQnSYzHAaqi9gSeiqQKusg=AFQjCNG3xb5OYzT_-jUAe9LxHAco7p2gEACitigroup says commercial breal estate/b bigger issue now for banks/abrfont size=-1font color=#6f6f6fReutersnbsp;-/font nobr14 hours ago/nobr/fontbrfont size=-1(Reuters) - Commercial breal estate/b is becoming a bigger issue for US banks after the Treasury decided that funds under the Troubled Asset Relief Program b.../b/fontbrfont size=-1a href=http://news.google.com/news/url?sa=Tct=us/8-1fd=Rurl=http://www.nytimes.com/2008/11/23/business/23gret.htmlcid=1273013942ei=etQnSYzHAaqi9gSeiqQKusg=AFQjCNEvU3_wXunkQrQFJUKtR618R2mrJwThat Money Isn’t Leaving the Vault/a font size=-1 color=#6f6f6fnobrNew York Times/nobr/font/fontbrfont class=p size=-1a class=p href=http://news.google.com/news?sourceid=navclientie=ISO-8859-1rls=GGLG,GGLG:2005-22,GGLG:enncl=1273013942hl=ennobrall 36 news articles/nobr/a/font/div/font/td/tr/table

Real estate group backs sick leave law challenge - Bizjournals.com

Real-Estate - Google News

RELATED ARTICLES

How Does Interest Rates Affect New Home Sales and Wheres The Best Place To Build?
These real questions on new home starts and interest rates on real estate are answered by a US Master Builder and myself after receiving them from readers of my e-book, "Residential Development Made Easy."Question 1.

Real Estate Investment - One Simple Formula
I saw the ads in our small-town newspaper for years before I realized exactly what was going on. They were always the same: A house for sale with 5% down and payments of 1% of the purchase price.

I have a buyer for your property and I can sell it now!
A Realtor has just talked to you and said, "I have a buyer for your property and I can sell it now; perhaps for more money than the price your current real estate agent has it listed for." Have you heard this or a version of this? Or, "I have a buyer for your property and I can sell it now; for Big Bucks (with an incredibly high figure named) perhaps for more money than that.

Fixing Houses for Resale: Three Beginning Steps to Increase Profits and Have Fun
Real estate investors specializing in fixers make higher profits when they have a detailed work plan and know how to get around the future resale appraisal issues.Before you begin your fixer makeover, taking a few extra steps helps you make more money, avoid future appraisal pitfalls, and have more fun.

The Devine Secrets Of The Ya Ya Lease Purchase Hood
The biggest secret of conducting a successful lease purchase business is to have a plan. I know don't grown.

The Sadness of Old Buildings
From the book No Smooshing!For years, I've carried on a not-so-friendly debate with some of my artist friends from the West Coast about their ideas of what constitutes a good subject. We seem to be able to agree on certain things, like apples and oranges-and even certain landscapes.

Purchase Your First Home with Confidence
If you are making the transition from renter to homeowner, you're not alone. In 2004, 40 percent of homebuyers were purchasing for the first time, according to "The 2004 National Association of REALTORS� Profile of Home Buyers and Sellers.

The Letting Agents Role
Letting agents play an important role in the buy-to-let industry and a good agent can help make or break your lettings experience. So what should you expect from your letting agent?Professional reputationTo attract good tenants, the agent needs to be well established in the local area and have a good reputation.

Checklist for Buying a Home
I had a client who called saying that his bath tub just fallen through the floor in his new home (new to him). Mold had eaten away the floor from the crawlspace up.

Preparing To Make A Zero Down Offer
�� I'm going to focus on the Seller of a hypothetical property you have found and the offer that you are going to make. You want to write it so it has a reasonable chance of being accepted.

How to Choose Your Real Estate Lender
Because you need quick action when applying for a real estate purchase loan, find a lender you can access easily. A lender's quick response signifies good service to follow.

Commercial Income Property Financing: Part 1 of 3
Welcome to this first portion of a three-part series about income property. In this first segment we will be discussing financing options for commercial income properties as well as the upside (and downside) of owning this type of property.

Choosing An Estate Agent
With so many estate agencies vying for your business, choosing the right agency can be difficult. We have put together the following top ten tips to help you find and use the most appropriate estate agent to sell your house.

Selling Property - Valuing Your Property
Selling property privately has many advantages over using an estate agent. However estate agents can provide useful local information not available from the internet.

Real Estate Investing Deals That SkyRocket Your Net Worth 10-Fold
Consider these parameters for a real estate deal:Property Value: $250,000 Purchase Price: $160,000 Repairs: $2,500If you analyze the numbers, you see that the equity available in this deal is $87,500 (Property Value minus Purchase Price minus Repairs).So here's a hypothetical question for you: Assuming that the information above is accurate, and the property is located in an area that you view as acceptable and/or favorable, then:If I offered to give you this deal in exchange for $10,000 in cash, would you do it?Remember - this is hypothetical.

Grab Quick Profits As Real Estate Prices Soar
Real estate values rise and fall in cycles. Currentlyhome prices are nearing a top in many areas.

Miami Property Booming for Foreign Investors
Miami tourism is growing and so is the Miami property market. Dubbed the New Manhattan by the US property media.

Real Estate Investing - "The Neighborhood Factor"
Real estate investing can be a dream career when the process of buying and selling is mastered. The biggest challenge in real estate investing is not the money to get started or the availability of the product.

Do You Want To Sell Your Rehabs Fast?
That's an obvious question - we all do! So what is the trick? So much time and money is spent on systems updates, roofs, and structural issues, that many times there's nothing left for what really makes the sale: what your potential buyers see. And more importantly, what they fall in love with.

10 Things You Shouldnt Do When Youre Buying a Home
Home Buying Don'tsYour home buying process is well underway. The sellers accepted your offer to purchase.