The foreclosure process can be confusing. Many individuals are left not knowing exactly how the process works. Here is a month by month estimate of what happens to give you a better understanding of what happens. Remember that each situation is unique.

Month 1

Day 1 – Mortgage payment is late

Day 15 – Late fee charged if not yet paid

Month 2

Day 30 – Collection calls begin, loan is now in default status

Day 45 – Late charges accrue

Month 3

Day 60 – Lender gives deadline to bring all months current

Day 61 – If you have a conventional mortgage, the loan is sent to attorneys for foreclosure to begin

Month 4

Day 90 – Mortgage payments 1-4 are due

Day 91 – If you have a FHA mortgage, the loan is sent to attorneys for foreclosure to begin

Day 100 – Borrower receives acceleration letter from attorneys. ‘30 day intent foreclose’

Month 5

Day 130 – Acceleration letter expires. Foreclosure by advertisement runs in the paper for six weeks. The borrower now has that period to pay back all late payments. Attorney fees are added to the arrear of loan

Day 144 – Occupant of the property will be served with notice of foreclosure

Month 6

Day 174 – Final day to pay back arrears

Day 175 – Sheriff’s sale occurs at the courthouse in county where property is located

Redemption Period

The redemption period usually is 6 months long, there may be exceptions. During this period the owner has a couple of options, they can either sell the house or refinance to try and remain in the property.

Day 355 – If the loan is not paid off in full or possession is not kept, the owner must surrender the property

As you can see the process takes close to a year. If you are behind on payments, the best thing to do and do it right away is contact your lender. They will work with you to restructure or modify the loan. The longer you wait, the less and less chance you have of the lender doing so.

(thanks to by Jason Sandquist)