How long is it taking to foreclose in Los Angeles?
I have been hearing rumblings that it is taking a long time, a very long time for lenders to initiate the foreclosure process. I have heard it can take as long as a year from the last payment made, to the lender taking back the property (foreclosure). I know several homeowners who haven’t made mortgage payments since October and their lender has not yet initiated the process (which typically takes another four months).
Are the lender’s that backed up? Were the loans sold so many times, that they are confused as to who is the owner? Does this have to do with TARP Or year end Executive bonuses? What do you think? Why aren't lenders (or whomever holds the note) taking back their properties in a timely manner?
Hi Phyllis, I've heard through the grapevine that many banks have had a moratorium on foreclosures. I believe Pres.Obama recommended this in order to give defaulting homeowners an opportunity to get their loans modified.
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Yes, thank you I should have mentioned that but didn't the foreclosure moratorium expire April 1?
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I thought it had too however, a friend of ours that works at a major AMC (we don't work for them much-fees very low)said that some banks are waiting until the end of May to lift the moratorium. We were doing almost all REO work so this has definitely impacted our business!
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I was just looking at one of your blog entries from last year and if the timeline for foreclosures entering the market is still roughly the same...it's going to be a while...even with lifting of moratorium at the end of May.
(generally) 3 months of missed payments = Notice of Default
3 additional months = Notice of Sale
21 days = Sale (foreclosure) date
Nice blog by the way. Rita
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