If you’ve fallen behind on your house payments there is a very specific timeline the bank will allow you. If you’ve received notice from the bank, there are very important, timely actions you can take to possibly save your house and credit. Watch this video to see where you are Wisconsin foreclosure timeline.
Step 1: In the foreclosure process : You’ve started receiving past due notices from your bank. They are informing you, that you need to pay your mortgage and late fees to keep your loan in good standing. This may only start after 3 to 4 months or more of non-payment.
Step 2: If you don’t pay up your loan you will receive a notice of default from your bank. Again, your only option is to pay up your loan and late fees, which may be minimal at this point. If you ignore this point the fees will jump dramatically and we’ll explain why.
Step 3: Your bank has now contacted their lawyer to start the foreclosure lawsuit. Your fees have now increased to cover all back payments, all late fees (which are still accumulating) and now the lawyer fees. Ouch!
Step 4: Your bank has filed the lawsuit against you and the court is now waiting to hear if you are going to pay up or choose to go into foreclosure. Some Choice?
Step 5: Depending on your answer and if you were able to pay up—you could be going to court
Step 6: You were unable to pay and bank receives the foreclosure judgment. You are now technically facing foreclosure. Foreclosure has some very hard consequences. You will be unable to purchase a house for 7 years. During that time, opening any new lines of credit will be almost impossible. You do have an option called a Short Sale. A short sale is negotiating with the bank to sell your house for less than what you owe. The consequences of a short sale are a lot easier to swallow than a foreclosure. With a short sale, it may be 3 - 24 months before we know if you can sell your home. Once you do, you’ll be able to get a new home loan in 2 years and will still be able to open and utilize credit cards until then.
Step 7: During the redemption period you can choose to keep your house or sell it. Either way you need to reapply for your loan with the bank. The bank will determine if you qualify for a short sale. Each bank has different qualifications but all of them require a lot of paperwork.
This is where our services help you the most! We’ll walk you though all of the required bank paperwork to allow them the best information to accept you as a short sale candidate. During this time we also negotiate with the bank to clear all of your judgements, so creditors will not come after you for doing a short sale. We also negotiate to secure a moving package to cover your moving costs. This doesn’t always happen but we do our best to get you something.
We also help you list your house or you can sell it to us. Banks often take a long time to process your short sale approval, you may be required to send in financial, tax and application paperwork many times over to keep their process going. We will help you with this as it can be a full time job.
Step 8: If a bank drags their feet on your short sale approval, they may send your property to public notice of sale or Sheriff sale. This could be a matter of 6 weeks or as little as 2. During this time period you can still sell your property to us and we can work to get the sheriff sale approved. The sooner you act after being notified of the sheriff sale the sooner we can stop the final foreclosure.
Step 9: If you did not act in time, the sheriff sale will go through and you will have lost your house to foreclosure.
Step 10: You need to attend the final court appearance where the bank takes the house back
Step 11: You need to move
All together the process could take quite a bit of time, but you must act along the way or the bank will walk away with your house and you have nothing but ruined credit. Take a look at the Wisconsin Foreclosure Timeline and see where you are at in the process. Depending on where you are you may be able to help yourself and save your house and credit.