What is Foreclosure in Fairfield, Connecticut?

Find the right Foreclosure Bankruptcy attorney in Fairfield, CT

Foreclosure is the legal procedure by which the lender in a mortgage arrangement takes possession of the property (typically a house) that secured the loan. This is done when the Fairfield, Connecticut debtor has repeatedly failed to make their payments. Foreclosure often requires the house to be sold at auction. Often, banks want to get rid of the property as soon as they can, in order to make as much money as possible, and move forward.

In every state, including Connecticut, borrowers have the option to go through foreclosure by judicial sale. This means that the auction will be supervised by a court, to make sure that the bank makes an effort to get as high a price as possible (to increase the chances that the whole balance will be covered, as well as the odds that there will be some money leftover for the debtor). In some states, original mortgages are "non-recourse loans," meaning that the lender may 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 Fairfield, Connecticut attorney to see if this state is one of them. However, it is almost always the case that this protection does not apply to loans that have been refinanced.

How Can I Avoid Foreclosure in Connecticut?

First and foremost, you should not dismiss the possibility of foreclosure. Failing to respond to collection calls from your lender will not make the problem go away. As unpleasant as this may seem, you should stay in contact with your creditor, and be forthright with them. You should remember that banks in Fairfield 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 forthright with them, lenders will typically try to accommodate your changed financial situation, to avoid a default on your part, and the necessity of foreclosing on their part.

If you believe that foreclosure is imminent, there are some other avenues. For example, you may be able to engage in a "short sale," which sometimes allows you to sell your house for whatever amount you can receive, give the proceeds to the lender, and walk away free of your mortgage debt, even if the sale netted less than the balance of the mortgage. You may also try a "short refinance" which allows a piece of the debt to be forgiven, and the rest refinanced. This allows the bank to wash its hands of the matter, while taking a comparatively small loss, and allows the homeowner to keep their home.

How Can A Fairfield, Connecticut Attorney Help?

If you think foreclosure is imminent, a good Fairfield, Connecticut lawyer may be your best hope for staving it off. Even if keeping the house proves impossible, a good attorney can minimize the financial effects.

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Life in Fairfield

Fairfield, Connecticut is a city located in Fairfield County. It has a population of approximately 57,000 people. Fairfield has been ranked by Money Magazine as one of the top 10 places to live in the U.S. It was ranked by the same publication as the best place to live in the Northeast, owing to its high median household income, relatively low home prices, extremely low crime rates, and quality of schools, among many other factors. Fairfield was originally established in the 1630s by a breakaway Puritan sect from the Massachusetts Bay Colony. During the American Revolutionary War, Fairfield was the site of significant fighting, and was particularly hard-hit by the ruthless, scorched-earth tactics of some British commanders, with many residents having their homes and businesses burned. Modernly, Fairfield, Connecticut is home to a large number (for a city its size) of major multinational corporations, including General Electric. It shouldn't be a surprise, then, that Fairfield, Connecticut is home to quite a few competent attorneys, who have to be ready to serve an extremely diverse and sophisticated client base. It's very likely that, whatever Fairfield, Connecticut lawyer you choose, they'll be able to help you with your legal problem.

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