What is Foreclosure in Alabaster, Alabama?

Alabaster Foreclosure Lawyers, AL

Find the Right Lawyer Now

Foreclosure is the legal process by which the lender in a mortgage arrangement takes possession of the property (usually a house) that secured the loan. This is done when the Alabaster, Alabama debtor has repeatedly failed to make their payments. Foreclosure usually requires the house to be sold at an auction. Usually, banks want to rid themselves of the property as soon as they can, in order to collect as much money as possible.

In all states in the United States, including Alabama, foreclosure by judicial sale is an option. This allows the sale to be conducted under the supervision of a court, to ensure that the bank makes a good faith effort to get a fair price, and that the proceeds above and beyond the balance of the mortgage (if there are any) go back to the debtor. In some states, original mortgages are "non-recourse loans," meaning that the lender can only recover ownership of the house in the event of default. If the house is now worth less than the balance of the mortgage, the lender has to take the loss. You should speak with a Alabaster, Alabama lawyer to see if this state is one of them. However, it is almost always the case that this protection does not apply to loans which have been refinanced.

How Can I Avoid Foreclosure in Alabama?

First, and most importantly, you should not ignore the issue. Failing to respond to foreclosure calls from your lender will not make a problem go away. You should stay in touch, and be honest with, your creditor as much as possible. You should remember that banks in Alabaster don't want your house. While the foreclosure process can be devastating for the homeowner, it's no walk in the park for the bank, either. They expected to make a profit through interest on the loan paid over time, and foreclosure is a last resort, allowing them to cut their losses and move on. If you are honest with them, lenders will usually try to accommodate your changed financial situation, to avoid a default on your part, and the necessity of foreclosing on their part.

If you can't work anything out with your lender, or have become completely unable to make any mortgage payments, a "short sale" might be a good option. This allows you to sell your house for whatever price it can get, and hand the proceeds over to the lender. If the sale price is less than the balance of the loan, the rest of the debt might be forgiven. There is also the option of a "short refinance," which forgives a significant portion of your mortgage debt, and refinances the rest.

Find a Alabaster Lawyer that Specializes in Your Area of Need:

How Can A Alabaster, Alabama Attorney Help?

If you are facing the possibility of foreclosure, a good Alabaster, Alabama real estate attorney can help. At the very least, they will be able to inform you of your legal options.

13 Bankruptcy, Banking and Credit cases posted to LegalMatch lawyers in Alabaster

Foreclosure Attorneys in the Largest AL Cities

Show Alabama Cities

Foreclosure Lawyers in Other Alabama Cities and Towns


Find the Right Lawyer Now

Top Rated Lawyers

View attorney profiles and see how other LegalMatch users rate attorneys that may respond to your case.

General Practice Lawyer
LegalMatch General Practice Lawyer John D.

John D.

KALAMAZOO, MI

General Practice

Rating (11 users) *****
See Reviews
Business - Litigation Lawyer
LegalMatch Business - Litigation Lawyer David A.

David A.

Los Angeles West, CA

Business - Litigation

Rating (15 users) *****
See Reviews
Criminal Law Lawyer
LegalMatch Criminal Law Lawyer Mark M.

Mark M.

STEARNS, MN

Criminal Law

Rating (20 users) *****
See Reviews
Wills, Trusts and Estates Lawyer
LegalMatch Wills, Trusts and Estates Lawyer Christopher R.

Christopher R.

Los Angeles West, CA

Wills, Trusts and Estates

Rating (27 users) *****
See Reviews

Need a Bankruptcy Lawyer?

No obligation - Lawyers compete for your case. Choose your issue & get started now: