What happens after a foreclosure sale in Georgia?
February 27, 2009
The day finally came. You did what you could to save your home, but on the first Tuesday of the month, it was sold on the courthouse steps. You are living in someone else’s home. What do you do?
Well, first of all, realize that this is a reality. You are living in a house you no longer own. You are going to have to leave. You don’t have to panic and move into the street, though. You have a few minutes. Take a breath.
When the house was sold on the courthouse steps, it was probably purchased by your lender. I say probably because in today’s market, the majority of foreclosed homes are worth less than the amount of the mortgage. Investors want to buy homes with solid equity. The banks are stuck with the rest.
When the bank takes the home back in a foreclosure proceeding, they aren’t going to come knocking on the door the next day. In fact, no one from the bank is likely to ever see the house. What they will do is turn the case over to a servicing company or a real estate firm. That company will begin the process of making the home ready to sell. Part of that process will be to come to the house and see if it is empty. If you are still living there, they will most likely contact you to inform you that the home has been foreclosed on and ask you when you plan to leave. This is where you can make a bad situation a little bit better.
Frequently, the bank’s representative will offer a monetary incentive for you to leave. The trade term is “cash for keys.” Typically they will ask that you leave within 5 days, leave the house in good condition and broom clean and give them the keys. They will give you money to help you move. This amount is negotiable, so don’t be afraid to ask for more. It’s a good deal for you, because you are eventually going to be moving. It’s a good deal for them, because the eviction process can take a while these days.
If you don’t want to move, the bank’s representatives will file an eviction suit. More on that next time.
If you are behind on your mortgage, don’t sit around and wait to get foreclosed on. Call 770-682-7735 and ask how we can help!