What is a preforeclosure?

For the homeowner who has gotten behind on their mortgage payments, the foreclosure process can be very confusing and discouraging. There are a lot of terms that are thrown around, and it is often times hard to determine where you are at in the foreclosure process.Typically when default on your mortgage payments, a lender will send you in the mail a NOD, notice of default, which will officially begin the phase in the foreclosure process known as preforeclosure.

Preforeclosure is the time frame in the foreclosure process that begins with the Notice of Default and ends at the sale date of the property. Furthermore, it is known by some as a grace period that is signaling that homeowner that he/she is in default and needs to do something about it.

For more information on your options, visit our loss mitigation programs page.