After losing your home to overwhelming debt or unfortunate circumstances, the last thing you want to worry about is being evicted.
There are many ways to stop the process of eviction if you find yourself struggling to cope.
Many evictions happen once you miss several payments. From there, the lender can take the issue to court. Once you, the borrower, do not reply or acknowledge the multiple notices, it sets in motion a bidding. This bidding is a foreclosure sale, which auctions off your house to another person or entity.
However, it is not too late to spring into action if your house was already sold off to another bidder. There is legal recourse if you have nowhere else to go that can help you stay in your place of residence.
In order for an agreement to work, you must talk with the lenders directly and come to a decision about how to make staggered payments in exchange for living at the house. This typically entails you repaying the amount owed, plus interest over a longer period of time, in order to continue staying on the property. This process is called statutory redemption.
In addition, opting to settle for a lump sum of money in order to leave the property may also be an option. This “cash for keys” situation can help you pay rent for a new place to live.
In general, it is always best to correspond as much as possible with your lender. Not responding to notices or other official communications may lead to avoidable legal issues.