The Non-Judicial Process And Foreclosures in Atlanta

Atlanta Foreclosures

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According to RealtyTrac, foreclosures in Atlanta, Georgia is among the worst in the nation through the first half of 2012. However, people are inclined to believe foreclosures in Atlanta really are declining – with just a few instances of foreclosure paperwork problems being reported. Thanks to the non judicial proceedings, homeowners in Georgia may lose their homes in as little as 30 days. Advocates for the the judicial process also say the non-judicial process creates documentation problems in foreclosure – making it impossible to determine the actual number of foreclosures.

Georgia currently ranks 7th in the nation in foreclosures. Georgia is also one of 27 states that do not require any court hearing for a lender to complete a foreclosure.

Among the states in the US, Georgia is among the fastest in foreclosing properties. In fact, lenders can foreclose in as few as 37 days.

The Process Of Foreclosures in Atlanta

What is the non judicial foreclosure process in Georgia? In Georgia, once a mortgage lender determines a borrower is in default, the lender can initiate a foreclosure without much fuss. Next, a letter is sent to the borrower by the foreclosure attorney to demand the full balance. Then, a letter will be sent to the defaulted borrower 30 days before the sale date to warn the borrower of the foreclosure. Afterwards, an ad will be run in the county’s legal paper for four consecutive weeks before the foreclosure. Finally, the property will be placed on auction.

Frank Alexander, a real estate finance professor at Emory University School of Law said the greatest deficiency in Georgia Law is the lack of any impartial judicial oversight. Advocates for a judicial foreclosure argues a judicial foreclosure process can protect homeowners. Judicial foreclosures are allowed under Georgia law, though, with most mortgage lenders having homeowners waive their rights during the closing process.

Compared to a non-judicial foreclosure process, a judicial foreclosure can be somewhat intimidating as it entails court appearances. But, this can work in your favor, because you will be assigned a third party trustee, who will help make sure the lender does not take advantage of you. A Judicial Foreclosure also gives you the right to contest the foreclosure if the lender did not provide proper notification or follow state or federal laws. While in a non-judicial foreclosure, the only way to delay or stop the process is to file bankruptcy or file a legal suit and ask for an injunction against your lender’s actions.

Whether or not it’s true that the non-judicial system works for lenders, foreclosures in Atlanta affects millions of families. Therefore, knowing the processes and your options will help you take control of the situation.

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