If you have received a foreclosure notice of default in Denver and not sure what that means, we’re going to explain it here. A notice of default is a warning from your lender that they are about to begin foreclosure process. It is legally required that lenders send this to any person that has an interest in a Denver property, such as the homeowner, contractors with a lien, other lenders, etc.
This same notice must be filed publicly as well in the local newspaper and on the property. It is an embarrassing situation for the person who is having foreclosure filed on them, but it is also a means of protection for them as well.
Public Embarrassment Better Than The Unknown?
Prior to this law being established, a Denver homeowner may not have had an idea that a foreclosure was in being considered by the lender. It has happened in recent years even with this law in place! It was a mistake by the lender, ended up being the wrong house, so just imagine their surprise.
It is important in the foreclosure process to receive a notice of default because it gives the homeowner the opportunity to correct the arrears. It also protects others with interest in the property to claim their financial rights. For anyone that receives a notice of default, they should take immediate action. Ignoring it or waiting to address the issue will only make it worse.
The Key Steps That Should Be Taken:
1) Don’t Panic
This is hard to do, but it is important. Foreclosure is a stressful thing for anyone, but remember, it didn’t happen overnight, so it isn’t going to be fixed overnight either. This is a good time to practice any coping skills you have and take care of yourself.
2) Get Educated
Investigate and read anything you can about the foreclosure process in the Denver, CO area. An informed homeowner will be a calmer homeowner in foreclosure. Learn the steps you can expect to come along and what the best plan of action is.
3) Collect Resources
There are several government and non-profit resources available for Denver, CO homeowners that are facing foreclosure. From legal matters to tax issues, there rules are confusing and the more help you can get, the better you can handle this.
4) Your Options
Property Scouts can answer any questions you may have about foreclosure on your Denver home. We can make you a cash offer to buy your house within 7 days – saving your credit from a foreclosure being posted. Or we can assist you with a short sale – again, saving your credit. There is also a possible option where we buy your house then rent it back to you, enabling you to stay in your home.
5) Open Communication
Keep in mind that your lender does not want your house. That is not how they make money. Contact them and let them know what’s happened to cause you to get in arrears, where you are currently financially, and see what help they can offer.
If you have more questions, give Property Scouts a call today at 866-366-4863 or complete this form and we’ll be in touch soon to discuss your situation and what options you have.