The aspect of foreclosure timing is one of my most often asked questions. That is because foreclosure is a process and not an event. Always remember that a house is completely yours and you have full control of it until the ownership gets officially transferred by the court system thirty days after the Sheriff Sale.
Typically a lender will file legal action to take your house (also known as starting the foreclosure process) not sooner than ninety days after you have missed your first payment. Because banks tend to be a disorganized mess of merged mega corporation it is very common to see a bank not begin to take any legal action for even another thirty to sixty days or more after that.
When the lender’s attorney finally files a foreclosure suite, you will receive (or maybe you already have received) a packet full of complicated legal language listing you, the borrower and everyone else that possibly could be connected to the property, as defendants.
Many people are confused by this packet because it says that you have to respond within thirty days. They think that they have to be out of their home in thirty days or they will be kicked out on the street. If they stay in the house they quickly find out that this is not the case at all.
There are many factors beyond your control that may naturally delay the foreclosure process. Sometimes the attorneys a bank chooses are so overworked that they intentionally delay a case to make room for a large caseload. Other times proper court procedure might not have been followed and a judge will delay a foreclosure case. Court systems are so backed up right now that they can not handle all of the foreclosures being filed as more and more of them enter the funnel. Also if your mortgage is government guaranteed (i.e. FHA or VA) there are extra government regulations that take more time for your lender to comply with before they foreclose. These factors can be good for you if you use your extra time to take smart action.
Other factors may speed the process up. A good foreclosure attorney for the bank may be able to pull strings and accelerate your case. Your county common please court may double their staff (unlikely) and catch up on the back log of foreclosures.
A range of time from first missed payment to the court ordered title transfer in North Eastern Ohio is going to be at least five months minimum to 9 or 10 months. At one time foreclosures in Cuyahoga County were taking as long as twenty-four months before they were sold at the sheriff sale. However in the last year Ohio has passed new laws to help speed the process up. If you file bankruptcy you can delay the foreclosure process by two up to eight months depending on how it is handled.
Coming soon I will publish a table of typical foreclosure times as of this date for the 6 Counties surounding Cleveland and discuss how you can find out the actual time you have no matter which state or county you are in.