Mortgage states - Deed-of-trust states?

The main difference between a mortgage and a Deed of Trust is the procedure that is followed if the borrower breaches his or her agreement to pay off the loan. With a mortgage, if a borrower "defaults" – such as by failing to make monthly payments or meet other conditions of the loan, such as carrying homeowner’s insurance and maintaining the house in good repair – the lender must bring a court action in order to foreclose on the property. With a Deed of Trust, if the homeowner does not pay the loan, the foreclosure process is usually much faster and less complicated than the formal court foreclosure process.

As a technical matter, a mortgage involves a relationship between (1) the borrower/homeowner and (2) the lender, while a Deed of Trust involves three parties: the homeowner, the lender, and a title insurance company which is holding legal title to the real estate until the loan is fully repaid.

Once the loan is paid in full, the title company transfers property title over to the homeowner. If the homeowner defaults, then the lender simply complies with the rather straight forward provisions of the law of the state where the property is located, gives the appropriate notices, and then turns the property back to the lender.

If you are ever facing foreclosure, you would be well served by consulting with an attorney in the state where the property is located.

Judicial Foreclosures

Judicial foreclosures are processed through the courts, beginning with the lender filing a complaint and recording a notice of Lis Pendens. The complaint will state what the debt is, and why the default should allow the lender to foreclose and take the property given as security. The homeowner will be served notice of the complaint, either by mailing, direct service, or publication of the notice, and will have the opportunity to be heard before the court. If the court finds the debt valid, and in default, it will issue a judgment for the total amount owed, including the costs of the foreclosure process. After the judgment has been entered, a writ will be issued by the court authorizing a sheriff's sale. The sheriff's sale is an auction, open to anyone, and is held in a public place, which can range from in front of the courthouse steps, to in front of the property being auctioned. Sheriff's sales will require either cash to be paid at the time of sale, or a substantial deposit, with the balance paid from later that same day up to 30 days after the sale. Check your local procedures carefully. At the end of the auction, the highest bidder will be the owner of the property, subject to the court's confirmation of the sale. After the court has confirmed the sale, a sheriff's deed will be prepared and delivered to the highest bidder, when that deed is recorded, the highest bidder is the owner of the property.

Non-Judicial Foreclosures

Non-judicial foreclosures are processed without court intervention, with the requirements for the foreclosure established by state statutes. When a loan default occurs, the homeowner will be mailed a default letter, and in many states, a Notice of Default will be recorded at approximately the same time. If the homeowner does not cure the default, a Notice of Sale will be mailed to the homeowner, posted in public places, recorded at the county recorder's office, and published in area legal publications. After the legally required time period has expired, a public auction will be held, with the highest bidder becoming the owner of the property, subject to their receipt and recordation of the deed. Auctions of non-judicial foreclosures will generally require cash, or cash equivalent either at the sale, or very shortly thereafter.
It is important to note that each non-judicial foreclosure state has different procedures. Some do not require a Notice of Default, but start with a Notice of Sale. Others require only the publication of the Notice of Sale to announce the sale, with no direct owner notification required. You need to know the specific procedure for your state.

Who do I call or where can I find this information online?

Thanks for the details Elena. When did you get into the inner circle? Was it only after you had made a deal?

We went through a title agency when buying our home. Does this mean that it is a deed-of-trust sale? We used VA financing does that have anything to do with it?

When I need information I will do extensive searches online, if I can't find it there I hit my local library. I'm a professional researcher... LOL!

Yeah, I was inducted to the Inner Circle Monday(yesterday.) I was so shocked and truly honored. I haven't done any deals as of yet. But I may have a couple of leads, still waiting to hear back.

I am truly happy for you and I know you deserve it, but I have more points and they told me that if you had over 500 and all the medals then you get in.

I have over 700 points and the same medals that you had before you were inducted. They gave you the 'deal maker' one after you got in I guess?

That is why I thought you got in for having made your first deal.
Are you getting the coaching? That might be what is getting people into the inner circle.

I feel like I am swimming in a rip-tide....lol

Deb you are invited into the IC by invitation. It is not an automatic thing. Elena got her diamond prior to the invite and she contributes an extensive and very pertinent amount of information.

Keep doing what you are doing and I am sure that your time will come. Its not about doing a deal is about the quality of support and contribution you offer others on dg.com.

So please don't feel jilted, as I said, I am sure your time will come.

Coaching also has nothing to do with it. If it did I would not be there and neither would sully. So just keep doing what you do.

I'm truly sorry I was inducted before you were. I honestly wasn't expecting it, it caught me completely by surprise, that's for sure! I temendously enjoy sharing what God has given me with others. I certainly wasn't trying to out do anyone or beat anyone out of anything they feel they deserve. I'm merely sharing my knowledge, resources, skills, suggestions, ideas, advice, and most of all my support, because I know that's what I'll attract back to me. I didn't get Dean's coaching, but I have had other coaches that I paid alot of money for and I'm just sharing what I learned with the rest of you so you don't have to pay thousands of dollars like I did.

Thanks A#1 for taking the time to clarify that.

Elena ;D

Thanks for getting back to me but I am truly not resenting your wonderful success!
Envy yes, resent NO.
I knew it was a matter of being 'chosen' for the inner circle and of course he only wants the best, which he has!
I just thought, wrongly, that you were invited after 500 points and all the medals. Which is true, but you have to have made some deals to get the 'deal-maker' medal first. I have not.

It is okay, I will get there sooner or later. It is a whole lot harder than I ever thought it would be though!

I was talking to Rina a minute ago (phone) and she says 'Hi' to everyone. She has not been able to get online since last night and is missing it very much. She hopes to be back online tonight!

Thanks to both of you for your help...

Thanks for the information. All help is greatly appreciated! Continued success......Lubertha

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THANKS EDWIN