The Notice of Default (NOD)is very serious in Georgia.
In some states, a borrower may have months, even years, after receiving the dreaded Letter of Pending Foreclosure Sale before the actual sale takes place, but that is NOT the case in Georgia. Anyone receiving this notice should contact their lender immediately.
What is the process for foreclosure in the Georgia?
The Foreclosure process begins when the homeowner fails to make payments of the money due on the mortgage at the appointed time. Proceedings typically start with a formal demand for payment which is usually a letter issued from the lender. This letter of notice is referred to as a Notice of Default (NOD).
In Georgia, the lender may issue this notice when the homeowner has been 30 days or more delinquent on the mortgage payments.
The following statement is very important. Please read it carefully: Every Georgia mortgage holder needs to understand that the Notice of Default is a threat to sell your property, terminate all of your rights in the property, and evict you from the premises.
How do people become faced with foreclosure?
Many American families have faced unprecedented and unforeseen hardship of every type during the recent economic recession.
In the excitement of the real estate run-up in the early 2000s, it seemed possible that every American could live the much-touted “Dream” of Home Ownership. Some lenders and some real estate professionals ushered eager prospects into mortgage products that didn’t make much sense in the long-run.
Some optimistic borrowers overreached., while others fell prey to questionable lending practices to take on loans they could not afford.
More recently the deterioration of the job market has meant more homeowners are falling behind in their payments due to unemployment.
Then there are the Alt-A’s and Option ARMs that are resetting at higher rates while incomes remain stagnant.
The reasons people are now facing foreclosure are many.
However they got there, countless Georgians now find themselves unable to make their monthly mortgage payments as promised.
These families, therefore, are facing the threat of losing their homes or investment properties. In Georgia, the power of sale clause provides the lender or mortgage holder a speedy recourse to repossess and resell such property. They can usually initiate foreclosure at anytime after a default on the mortgage.
Georgia’s Foreclosure Crisis.
The state of Georgia has been in a state of economic, emotional and community crisis for several years due to it’s high rate of foreclosure activity during the recent real estate bust.
Foreclosures don’t just hurt single families. They negatively impact entire communities, because every foreclosure pulls down the value of nearby properties. Houses become harder to sell. Refinancing becomes harder to get. Empty neighborhoods, or those where the majority of houses are for sale, can be perceived as blighted. Empty houses can also invite crime. This leads to declining prices and inevitably devastates the strength and stability of those communities and the families who live there. As the tax base declines, even local governments and the services they provide suffer.
Georgia has been especially hard-hit, with foreclosure numbers repeatedly hitting and then breaking new records. Do you know that nearly half of all the homes currently listed by real estate agents on the Georgia Multiple Listing System are either foreclosures or pre-foreclosure properties? In our state, sub-prime mortgages are nine times more likely to be delinquent or in some stage of foreclosure than prime mortgages. According to the Atlanta Journal Constitution review of federal mortgage data, a high-interest, sub-prime loan financed one in every four home purchases in metro Atlanta in 2005.
And while many markets across the country are predicted to hit bottom in 2012, most experts agree that Georgia is not there yet. As bad as it’s been, it could get worse before it gets better.
It is important that home owners seek help early. Statistically, as many as 70% of homeowners in distress do not appear to have taken any action to resolves their situation. Their houses are never even listed for sale. Many just get so discouraged that they walk away from their debt, permanently impacting their ability to achieve home ownership again.
There is a way out.
I consider a pre-foreclosure sale, or short sale, to be a successful sale, because it prevents bank foreclosure. so, I am on a mission to assist as many homeowners as I possibly can to avoid foreclosure through pre-foreclosure sale. I’ve written this e-book because I have the certification and experience to help make this happen. I’ve invested extensively to become familiar with the Georgia foreclosure process and ways an upside-down and economically impacted home owner prevent it. For more information or a confidential consultation, contact me today.