Analysts are looking at Ohio as a trend to what may happen throughout our nation. Foreclosures are declining but homes being repossessed by the banks are on an upward climb.
In April 2015, the number of homeowners in the central area of Ohio going into foreclosure dropped. A new direction by the banks began to take shape. These central Ohio homeowners who were already in the process of foreclosure were finding the banks were aggressively repossessing their homes instead of foreclosing.
During April 2015, in central Ohio, there were 324 foreclosure lawsuits filed (the very beginning of the foreclosure process) which was a 55% drop from the year before. During this same month, there were 339 homes being repossessed by the banks - “coincidentally” a 55% increase from the year before.
Banks discovered a rise in home prices in this central-Ohio area made it more worthwhile to repossess these homes instead of foreclosing. The properties were looking very attractive to repossess and quickly resell. Previously, there were so many vacant homes on the market it was in the lender’s interest to try and keep the homeowner in their homes. Recently, the inventory of vacant homes has decreased and it’s more lucrative for the banks to quickly repossess and resell these homes, making it more profitable.
Colorado follows a Public Trustee or Judical Foreclosure System, which is vastly different than Ohio.
Foreclosure is a lengthy process your lender must follow if you default (not make payment) on your home loan. States have different procedures the lender must follow.
In some areas of our nation, a foreclosure can occur within a few months, in other states the foreclosure process can take a year or more. In Florida, for instance, it takes 200-600 days for a lender to foreclose. In one notorious case, Patsy Campbell holds the record of being in foreclosure for over 25 years on her Florida home. In Colorado, depending on the timing of various required notices, it usually takes 60-70 days for an uncontested non-judicial foreclosure to occur. (This process can be delayed by other options.)
During a foreclosure process, you do not have to move out of your home. Once the process is completed, you are given a specific date you must leave.
Repossession is commonly thought of as taking back an item such as your car if you stop making payments. Banks and other agencies can repossess homes through various seizure laws. The lenders who are now repossessing homes are usually in a rush to sell these properties quickly.
If you’ve missed payments on your mortgage, there are many options and alternatives you have to choose from. A qualified foreclosure defense law firm like Gantenbein Law Firm can defend your rights with multiple legal strategies to help you avoid foreclosure. Call today 303 618-2122 to get started - we will do everything possible to save your home.
If you have other real estate, business, or tax issues, contact our Denver attorneys at 303-618-2122, or visit our website at www.gantenbeinlaw.com.