Foreclosure is a daunting process for any homeowner. Surely, you are not ready to lose your home to some lender as you are falling behind in making the mortgage payments. Foreclosure in Pennsylvania is a final blow as there is no way of redeeming or getting your home back. And it is crucial to act fast if you want to avoid this whole situation entirely or the extra fees or costs that come with the foreclosure process. Maybe you are ready to let go of your house. But even after the foreclosure, you have to take care of the residue deficit. In a situation like this, you must get help from our experienced Pittsburgh bankruptcy lawyer.The Mortgage Foreclosure Process
Foreclosure is the process that allows the lender to file a lawsuit against you, the borrower for falling behind in monthly mortgage payments. When the foreclosure happens, the properties in Pennsylvania get sold in the sheriff’s sale to the higher third party bidder or in most cases, the lender. You will get two pre-foreclosure notices that will include:
- PA Act 6 Notice dictating the rules and letting the debtor know about the beginning of the foreclosure process. This notification will be sent within 60 days of nonpayment. You as the borrower will get a 30-days time for setting up the payment plan, cure the default and take care of the attorney fees.
- PA Act 91 will inform you about Homeowners Emergency Mortgage Assistance Programs.
To protect the debtor from the abuse of the lender or their debt collectors, Pennsylvania offers the following protections:
- The Loan Interest & Protection Law for capping the interest rates at 6%
- The Homeowners’ Emergency Assistance Act for helping the debtor facing foreclosure with the means of assistance for finances, housing and legal help.
Pennsylvania Rules of Civil Procedures Sections 1141 to 1164 govern the judicial foreclosure of properties. This process means that the lender or the bank has to go to the court and their legal procedure for foreclosing on a property. There are some jurisdictions where nonjudicial foreclosure is allowed too.How Can I Avoid Mortgage Foreclosure?
For that, you need to assert your borrower’s right in which the Pittsburgh bankruptcy lawyer can help. Answer to the complaint first as this is crucial and then give the defense stating how the lender has added the abusive extra fees that have caused the amount to become huge and arrears which resulted in the foreclosure.How Much Time Do I Have to Fight?
For an uncontested foreclosure, it typically takes around 120 days. For a contested and challenged foreclosure, it takes longer. You need to answer the foreclosure complaint in 20 days. Otherwise, in 10 days you will get the notice that the foreclosure has entered the default judgment.
By answering the complaint, you will be able to protect your rights. The lender can file the motion for summary judgment where they can urge the judge to sign off the foreclosure. In case of denial to this, the trial gets scheduled. This part of the proceedings is governed by the Pennsylvania Rules of Civil Procedures Sections 3180 to 3183.
Come to Pittsburgh bankruptcy Law Group so that our Pittsburgh bankruptcy lawyer can help you.