Most of us experience financial troubles at some point, whether due to a job loss, medical emergency or other unexpected event. If you own a home, the thought of losing your home may be one of your biggest fears, especially if you miss a mortgage payment or two.
You might be afraid to communicate with their mortgage lender during times like this, not wanting to hear bad news. This could lead to you ignoring phone calls or letters from the lender about the status of your mortgage.
The initial foreclosure notice
If you keep missing payments and not responding to letters, your mortgage company will likely eventually file for foreclosure and you will receive a foreclosure notice. While you may be tempted to ignore this notice or throw it away like the other letters, you should not do this.
Many people assume that once the foreclosure process has started, it is just a matter of time before they lose their home. This is not true.
You generally have many options that are potentially available to you that will allow you to keep your home. One of these is foreclosure mediation, which is available to Connecticut residents going through foreclosure.
However, this and other options are typically not available to you if you ignore foreclosure paperwork and miss deadlines.
Responding to the foreclosure notice
The foreclosure process involves deadlines. When you receive a foreclosure notice, review it carefully. It will contain a deadline for you to respond.
You must respond within the deadline. You still have rights as a homeowner even if you have missed mortgage payments and foreclosure has started.
There are defenses to foreclosure that you could assert. Speaking with someone experienced with the mortgage foreclosure process can help you learn what defenses are available to you.
What happens if you do not respond
If you do not respond to the foreclosure notice, the court views this as a sign that you do not intend to defend yourself and a default judgment will be automatically entered against you. Your home can then be sold to someone else at a foreclosure sale.
You can avoid this by simply filing a response to the foreclosure notice. Many mortgage companies are willing to work with homeowners who participate in the foreclosure process and show a willingness to try to keep their home.