Foreclosure - REO

Definition

Legal process where a lien holder obtains a termination of a mortgagors equitable right of redemption by a court order.

Notice to accelerate – once debtor is 60 days past due, theywill receive this notice.   If they don’trespond, an attorney for the bank will send them a demand letter.

Notice of default-   if they don’t respond to the demand letter by payment in full amount plus fees, aformal foreclosure will be filed.

Notice of sale – if there is no response to the demandletter or   notice of foreclosure, therewill be a notice of sheriffs sale in less than 30 days.