Day 1 – Suppose, you have not paid your first mortgage installment.
Day 16 – The lender/bank will add late payment charges to your outstanding bill.
Day 45 to 60 – Your bank/lender will send you the “Breach” or “Demand” notice.
Day 90 – If you’ve missed out on making 3 payments consistently, your bank/lender will go ahead and file a foreclosure complaint in the respective location’s court. You will then receive a copy of the complaint and a summons. You should consult an attorney after receiving this summons.
Day 118 – You will have 28 days to reply to the summons. After this period, the lender/bank may contact the local sheriff to schedule a foreclosure sale on your property.
Sheriff’s Sale – At this stage, your property will be put on auction for sale. You don’t require to vacant your home now.
Redemption period – When the sheriff will sale your property to any other new buyer, they will have around 60 days in hand to notify the court that the sale has been done. Then, the court will take 30 days to confirm the same. The period between the sheriff’s auction and the court confirmation is known as the “Redemption Period.” This redemption period may stay for up to 90 days or even more than that. This redemption period will be the best time to have your property back in your ownership. During this time, you need to get in touch with a loan modification specialist or a loan modification attorney.