PHH Corp. Foreclosure Process

PHH Corp. Foreclosure Process And Timeline.

There are a few pointers worth knowing to deal with Corp. as the foreclosure process can be very challenging for a homeowner. If you miss a payment on your mortgage then the department called Home Preservation Department will start the proceedings foreclosure on your loan.

What Are The Foreclosure Timeframes?

The process foreclosure for Corp. is different in different states and even varies for counties. In different states, there are some practices that govern the practices foreclosure and one example is the notice that you are issued if you miss a payment on your loan.

Notice Intent (NOI) To Foreclose and Accelerate “Breach Letter”

A time usually 30 days is provided as you are issued a notice missing payment called as Notice Intent (NOI).

To inform the homeowner that he/she is in default the loan and the company intents to foreclose if payment is not made. There is a practice in which the lender accepts some payment in order to restart the timeline foreclosure but in some states, if this is done then this notice has to be reissued. But, eventually, a time will come and the lender will no longer accept a payment and foreclose process will start if the loan is not brought to current.

One thing that people do that works against them is that they fail to act on the NOI when they receive it. The moment that you do receive an NOI, contact as soon as possible to start seeking a resolution to your mortgage delinquency.

Different Types Of PHH Corp. Foreclosures

Corp. does different types foreclosure but the type foreclosure they will depend wholly on the state that you are in and the county in which the property is in.  Corp. does two types foreclosures; the judicial foreclosure and the non-judicial foreclosure.

Non-Judicial Foreclosure Process

As the name suggests this process does not go through the courts. The documents are filed within the community. PHH Corp. will call you if you have missed your first payment for asking the reason for which you have missed the payment. If you miss the second month payment then NOI is issued. The Notice Default (NOD) is issued as you miss the third payment. At that time you can work either to clear your debt or else your loan will be accelerated. This is where we can step in and help you apply for mortgage assistance relief programs.

Notice Default (NOD)

The first document that has to be filed with the county is the Notice Default (NOD).  The condition in which this notice can be filed is that the homeowner is 90 days behind (again keep in mind this is as the date that the third payment comes due). The NOD contains information such as the name and addresses the borrower, lender, and trustee. It also may contain the address the mortgaged property, a description the defaulted amount (past due payments), the action that can be done in order to prevent foreclosure, the date which the house can be paid for or cured by the borrower and a statement that denotes that the house will go up for sale if the default is not cured.

Notice Trustee Sale (NTS/NOTS)

The NTS notice is displayed outside the property. This is done to inform the public that the homeowner is in default the loan. It is also the duty of the trustee to publish this notice in the local newspaper or any other publication. As the homeowner, you may receive a notice sale, a notice default that is followed by a notice sale or even sees the notice by publication.

Once that has been accomplished, then a date and time are set and your house will be sold to the highest bidder

Judicial Foreclosure Process

As is clear from the name this process goes through the courts and can be fairly lengthy and can sometimes go on for months and even for years.

A call will be received from Corp. if you miss the first payment on the loan and they will ask the reason for which you missed the payment. NOI will be issued upon missing the second payment but the collection practices will continue. You have the opportunity to bring your mortgage current within a period of 30 days.

A complaint will be filed in the court that will be prepared by an attorney hired by Corp.

You are given a specific amount of time after being summoned by the court. An option of submitting an answer or not is given to you but you will allow the lender to get a default judgment and can result in reposing your house sooner. However, if you do file an answer and with the proper defense, you may be able to halt the foreclosure process.

Lis Pendens

Lis Pendens is Latin for a suit pending. It is a written notice that is concerned with a real estate property. The court clerk files the Lis Pendens, certifies that it has been filed and then it is recorded by the county recorder. The Lis Pendens informs the owner the real estate property that a claim has been entered for the property and at the same time, the Lis Pendens informs all the buyers who are interested in the property that they are a potential claim against the property.

Power Sale

In the lawsuit, the attorney will be asking the judge to grant a power sale which means they can set a foreclosure sale date on yours.

In the event that the lender won the case that was filed against you, then a date and time are set for the house to be sold to the highest bidder.