What is Foreclosure in Columbus, Indiana?

Find the right Foreclosure Bankruptcy attorney in Columbus, IN

Foreclosure is the procedure through which the lender in a mortgage takes ownership and/or possession of the property that secured the original loan. This happens when a debtor in Columbus, Indiana has consistently failed to make their payments. Foreclosure normally involves a forced sale of the house at auction. Banks normally want to rid themselves of ownership of the home as soon as possible, collect as much money as they can, and then move on.

In all states in the U.S., including Indiana, foreclosure by judicial sale is allowed. Under this system, the sale is overseen by a court of law, to ensure that the bank makes a good effort to get a reasonable price at the auction, and that any proceeds above the balance of the mortgage go back to the borrower. In various states, mortgages which have not been refinanced are "non-recourse loans." This means that, in the event of default, the bank can take ownership of the house and sell it; but if the sale price happens to be less than the balance of the mortgage, the lender cannot go after the debtor for the remainder. Because of this, some people have found that their best option is to simply walk away from the home if the mortgage is more than the house is worth. You should talk with a Columbus, Indiana lawyer to see if this state is one of them.

How Can I Avoid Foreclosure in Indiana?

First, and most importantly, you should not dismiss the issue. Failing to respond to foreclosure calls from your lender will not make an issue go away. You should stay in touch, and be straightforward with, your creditor as much as possible. One should remember that banks typically don't want to take your house in Columbus. They issued your mortgage expecting to earn a profit on the interest. Taking possession of, and selling, your house is a last resort for them. Therefore, if you are straightforward with them about your financial situation, they are likely to make reasonable accommodations to keep you from defaulting.

If no deal can be worked out, or the mortgage payments have become prohibitive, you may consider a "short sale". While the lender has to consent to it, many will take a moderate loss if it means avoiding foreclosure (which lenders typically treat as a last resort). This allows you to sell the house for whatever price it can fetch on the current market, and hand the proceeds over to the bank. If the sale nets less than the balance, some or all of the deficiency may be forgiven. You may also consider a "short refinance" which allows a portion of the debt to be forgiven, while refinancing the rest, hopefully under better terms.

How Can A Columbus, Indiana Attorney Help?

If you are worried about foreclosure, a good Columbus, Indiana real estate attorney may be able to help. An attorney can increase your chances of keeping your home, and help minimize the financial impact if keeping it proves impossible.

Talk to a Bankruptcy & Finances Law Attorney now!

Life in Columbus

Columbus is located in Indiana's Bartholomew County. Specifically it is 40 miles from Indianapolis and on the east fork on the White River. Columbus is the twentieth largest city in Indiana. It is also ranked eleven on the U.S.'s safest cities to live in.

The largest employer in Columbus is Cummins, Inc. In fact, GQ Magazine included Columbus in its "62 Reasons to Love Your Country" article.

Some popular attractions include the Miller House, Otter Creek Golf Course, First Baptist Church, and the Large Arch sculpture by Henry Moore.

Famous residents include Stevie Brown, Lee H. Hamilton, Jeff Osterhage, Jill Tasker, Herbert Wright, and Bob Paris.

Columbus is also home to many attorneys and law firms that practice in any and every field of law.

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