North Carolina Foreclosure Process
Let Our Charlotte Foreclosure Defense Lawyers Help
foreclosure proceeding is usually instituted when a homeowner is behind on his/her mortgage payments
(i.e. in default) and the mortgage lender (usually a bank) wants to take
the property back from the homeowner(s). The lender's right to foreclose
is normally contained in the mortgage documents you signed when you first
took out the loan to purchase the property.
Your mortgage documents also establish a "trustee". The trustee
is a neutral party whose function includes verifying that you get the
deed to the property when your loan is paid off. The trustee's function
also includes verifying that the lender gets the deed to the property
back (normally through foreclosure) if you do not repay the loan as agreed upon.
The North Carolina statute dealing with foreclosures is N.C. General Statute
Chapter 45 Article 2A. In a foreclosure proceeding, the property is sold
either back to the mortgage lender or to a third party. When the foreclosure
takes place, the ownership interest in the property is transferred from
the homeowner(s) to the party who purchased the property at the foreclosure sale.
The Foreclosure Hearing
When you are behind on your mortgage, the lender will instruct the trustee
to foreclose. After verifying that you are behind, the trustee then files
a "special proceeding" at the county courthouse and also sends
you notice. A "foreclosure hearing" is held first and takes
place at the county courthouse. Normally, your mortgage lender will have
their attorneys at your hearing to present legal arguments against you
and why your foreclosure sale date should be set. If the lender's
attorneys are successful at the foreclosure hearing, the Court will then
set a date and time for the foreclosure sale.
However, there are valid legal grounds for having your foreclosure hearing
and/or sale continued or cancelled. Before a foreclosure sale date can
be set, the lender's attorneys must prove various legal elements.
Our experienced foreclosure defense attorneys are intimately familiar
with each of the elements required, and are often able to present legal
arguments, on your behalf, which prevent or postpone a foreclosure sale
date from being entered!
We are able to get you additional time and assistance needed to:
- Try to get your mortgage loan current
- Get your mortgage loan modified
- Address any payment discrepancies
- Get payoff & reinstatement figures
- File bankruptcy to either keep your home or avoid later being sued for
a deficiency claim if the home is eventually foreclosed.
The Foreclosure Sale
If the court rules that your foreclosure sale should proceed, the sale
date is set at least 20 days later. However, just as in the foreclosure
hearing, the lender's attorneys must satisfy various legal elements
before a foreclosure sale can proceed. Our attorneys know the legal elements
needed and how to challenge a foreclosure sale date in order to get it
cancelled or postponed. Even if your foreclosure sale date has already
been scheduled, you still have legal options available which could enable
you to keep your home!
Postponement of the Foreclosure Sale
You should never assume that your property was sold just because the foreclosure
sale date has passed! You could still possibly have time to take actions
to keep your property. Foreclosure sales do not always go forward as originally
scheduled. If your foreclosure sale date has already passed, you sould
call your mortgage lender and ask if the foreclosure sale was completed.
If the sale was not completed, you should call us immediately!
10 Day "Upset Bid" Period After the Foreclosure Sale
After a property is sold at a foreclosure sale, the trustee files a "report
of sale" with the Clerk's office. Once this occurs, there is
then a 10 day upset bid period wherein other purchasers are able to outbid
whoever purchased your property. This upset bid period can be very important
if you plan on filing a
Chapter 13 bankruptcy
to save your home.
In a Chapter 13 bankruptcy, your mortgage arrearages (i.e. back mortgage
that you owe) are not all due immediately. Instead, they are "spread
out" over a 36-60 month period thereby making it more affordable.
If this is the case, your bankruptcy case must be filed before the end
of the upset bid period! Once the upset bid period ends, the trustee will
then file the final sale documents with the Clerk and deliver the deed
to the purchaser. At this point, it's too late to keep your home through
a Chapter 13 bankruptcy.
Take Immediate Action
Your best chance at protecting your home from a foreclosure is by taking
immediate legal action. At Saffa Law Group, our Charlotte foreclosure
defense attorneys know that what you need most is time, and we have the
legal knowledge and resources that can help you get it. Call today to
free case evaluation, in which we can discuss your legal options and begin your journey to
Call to speak with one of our attorneys and discover what options are available to you.
We serve clients throughout the City of Charlotte, Town of Cornelius, Town
of Davidson, Town of Huntersville, Town of Matthews, Town of Mint Hill,
Town of Pineville, Town of Stallings, Buford, Charlotte, Goose Creek,
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