Foreclosure in Milwaukee
What is foreclosure?
If a homeowner is falling behind on mortgage payment, then a lender may attempt to obtain the balance of their loan by forcing the borrower to sell their house. This process is known as foreclosure, and may be classified as judicial or non-judicial. A judicial foreclosure requires the bank to file a lawsuit with the courts. In a non-judicial foreclosure, the loan documents permit the lender to sell the home if the loan goes into default. In Wisconsin, most foreclosures are judicial.
The Foreclosure Process in Wisconsin
If you are unable to make your mortgage payments, then you may be in danger of foreclosure. Don't wait a minute longer to obtain legal counsel from my firm, Sapinski Law Office, S.C. As a foreclosure attorney in Milwaukee, I can provide debt relief options and guide you through the process. Here is an outline of what to expect in the coming weeks and months.
When you are 90 days past due, you will get a notice of default. It will inform you the loan is delinquent and give you a chance to reinstate the loan (make it current gain). Usually, the mortgage document you signed will lay out the specific terms that must be followed to reinstate. The reinstatement amount will include the mortgage payments you missed, and it may also include interest and any additional fees and costs - including attorney costs incurred by your mortgage company.
It may also include late fees. If the loan is not reinstated, the lender will start the foreclosure process by filing a foreclosure summons and complaint. These are filed in the circuit court in the county where the real estate is located.
The filed summons and complaint must then be served upon you and you will be given time to file a written response. Generally, an individual is given 20 days after the service date to file their response. If no response is filed, a default foreclosure judgment will be entered.
After a foreclosure judgment is entered, your mortgage company has to wait for a period of time before they can sell your home at a foreclosure sheriff sale and force you out. This mandatory waiting period is called the redemption period. The time can vary and will be stated in your foreclosure complaint. It will usually be six to 12 months if you are living in the property.
If someone else is living there, you will get three months. If the property is vacant, you may only get two months. During your redemption period, you can sell your home and keep all the sale proceeds. During this period, you can also pay off your mortgage, if you can find the funds to do so.
After the redemption period runs out, the home will be sold at a foreclosure sheriff sale. A few weeks later, the foreclosure sale must be confirmed by the judge.
Can filing Chapter 13 bankruptcy stop my foreclosure?
If you file Chapter 13 bankruptcy before the judge confirms the foreclosure sale, you should be able to protect your real estate. It is strongly recommended, however, that you not wait until the last minute. I suggest that you always file your bankruptcy months before the confirmation date.
Under Chapter 13 you are allowed three to five years to re-pay the arrearage on your mortgage. The arrears are paid through a debt repayment plan approved by the bankruptcy court. While you are paying the arrears, you are still required to make your monthly mortgage payments in a timely manner. In some cases, you can modify your mortgage through Chapter 13.
When you modify, the arrearages are added to the back of the mortgage loan and - in some cases - they may be waived. In most cases, modification results in a reduction in the amount you must pay your mortgage company each month.
Facing foreclosure in Milwaukee?
Call Sapinski Law Office, S.C. for trusted legal guidance. As an established Milwaukee bankruptcy attorney, I have more than 14 years of experience working with individuals facing foreclosure throughout the state of Wisconsin. If you are being foreclosed on, don't wait any longer.
Call Sapinski Law Office, S.C. to find out more about Chapter 13 bankruptcy and the other debt relief options available to you. I offer a free case evaluation. Picking up the phone is risk-free and could be the first step toward saving your real estate.