In Kansas, the foreclosure process allows the lender to seize the property and sell it through an auction. The lender notifies the borrower of the impending foreclosure in writing, and the borrower has a predetermined time to respond. A foreclosure lawyer in Lawrence, KS assists borrowers in weighing their options and stopping the foreclosure.
Loan Modification Services
Loan modification services start with a complete assessment of the mortgage loan contract. All predatory lending practices are removed from the mortgage contract. A new contract is created to show the interest rate available to the claimant at the time that the contract started. The overdue balance is either wrote off or shifted to the end of the loan.
A Quick Sale
A quick sale is conducted by a real estate firm. The property is priced lower than the loan value in most cases. The real estate agent presents the property to investors or buyers who want to complete the transaction quickly. After the sale, the lender is paid with the proceeds generated by the sale. The consumer is responsible for the outstanding balance of the mortgage loan. However, some lenders may agree to accept the proceeds only.
Filing for Bankruptcy
If the consumer files for bankruptcy, an automatic stay stops the foreclosure immediately. All the claimant has to do to protect their property is submit a claim. If the claim is approved by the court, the foreclosure is stopped completely.
Refinancing the Mortgage
The consumer has the option to refinance the mortgage through any lender. Negotiations with their current lender could lead to refinancing instead of foreclosure. The lender subtracts all payments submitted from the total balance, and the loan is restarted. All outstanding balances are added to the new mortgage loan including late charges or additional finance fees.
In Kansas, the foreclosure process could leave the consumer homeless if they don’t take immediate action. An attorney helps the borrower review their options to prevent the foreclosure. The most common strategies are bankruptcy, a quick sale, refinancing the loan, or a loan modification. Consumers who need legal assistance from a foreclosure lawyer in Lawrence, KS can browse the website for more details or to schedule an appointment now.
