Sheriff Sale – What Happens Now?

A sheriff sale takes place when foreclosure has been filed by a mortgage company judging that an occupant has failed to pay his mortgage. This article examines the process for the homeowner.

A sheriff sale takes place when foreclosure has been filed by a mortgage company judging that an occupant has failed to pay his or her mortgage. This process is different from a tax deed sale in that the actual property is up for bid rather than just a lien. The sheriff sale takes place as a public auction where anyone can bid in an attempt obtain the involved property. After the sale of the deed to your home you will be in what is called a “period of redemption.” During this time you should remain in your home using the time to either sell or try to redeem your property.

If your home has gone through this process and a sheriff’s deed has been issued, though a foreclosure will appear on your credit report, you still have a chance to save your home. After a sheriff sale takes place and a deed is obtained by the winning bidder, you may still have up to a six month redemption period during which you can redeem your property if certain criteria are met. You will be officially informed of this time frame via a note on your door, and you have the stated amount of time to pay the holder back the full amount of the deed plus any accrued interest. You may also have to pay court costs and legal fees, but you can ultimately keep your house.

Occupancy of your home is imperative in the wise use of this time. Stay in your home; leaving your house will be judged as abandonment and will eliminate the redemption period. Respond promptly to any indication or notice of abandonment with a written notice that you continue to occupy the home. Doing so will allow you the entire allotted time for you to attempt a redemption of your property.

If you are sure that you will not be able to redeem, continue to occupy the property while you use the time to put your home on the market and look for a new place to live. If your home has equity, you may be able to sell and profit enough to both pay off your mortgage, the lien, and any other costs, possibly having enough left to start over in your new place. Leaving the home during this time will also be seen as abandonment; only a little time remains after abandonment is declared before your possessions will be removed.

As your redemption period comes to a close, if you have not been able to redeem or sell, you will be given eviction papers and scheduled for a court hearing likely within less than month’s time. After your hearing, you will have approximately ten days to remove yourself and any or all of your belongings from the premises before someone will be appointed and sent to enforce your eviction. You will be forced to leave, and anything left behind will likely be seized. It is not likely that at this time you will have the opportunity to keep your belongings, because at this time, you actually no longer own your home.

Article Tags: Sheriff Sale Takes, Sheriff Sale, Sale Takes, Redemption Period

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