What is Foreclosure in Leominster, Massachusetts?

Find the right Foreclosure Bankruptcy attorney in Leominster, MA

Foreclosure is the process 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 Leominster, Massachusetts has repeatedly failed to make their payments. Foreclosure normally results in the property being sold in an auction. Banks normally want to get rid of the property as soon as possible, even if it means taking a financial hit, and an auction is the easiest way to do this.

In every state, including Massachusetts, there is an option to go through foreclosure by a judicial sale, which is a procedure in which a court supervises the sale of the property, and makes sure that the proceeds first go the to the holder of the mortgage, then to anyone else who may have a lien on the property, and finally to the debtor if anything is left. In many states, original mortgages (as opposed to refinanced loans) are "non-recourse" loans, meaning that the most the lender can collect is whatever the foreclosed property sells for. The bank cannot go after the borrower for the balance, if the sale nets less than the amount due. You should consult a lawyer in Leominster, Massachusetts to learn the details of the law here. You should also know that this rarely applies to loans which have been refinanced.

How Can I Avoid Foreclosure in Massachusetts?

First and foremost, you should not ignore the possibility of foreclosure. Failing to respond to collection calls from your lender will not make the problem go away. As unpleasant as this might seem, you should stay in contact with your creditor, and be straightforward with them. You should remember that banks in Leominster 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 straightforward with them, lenders will normally 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 options. For example, you might be able to engage in a "short sale," which sometimes allows you to sell your house for whatever amount you can get, 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 might 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 relatively small loss, and allows the homeowner to keep their home.

How Can A Leominster, Massachusetts Attorney Help?

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

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Life in Leominster

Leominster, Massachusetts is a cityin Worcester County, and has a population of about 42,000 people.

Prior to settlement of the Leominster area by Europeans, the area had been inhabited by various Native American tribes for thousands of years, and like most cities in the New England region, it was settled by Europeans in the mid-1600s.

As Leominster began to experience industrial growth in the 19th and 20th centuries, it became a major center for the manufacture of plastics, and various plastic products. Interestingly, this has its origins in the 1700s, when Leominster was a major center for the comb industry, with fine combs originally being made of whale baleen. The industry quickly transitioned to using plastic as soon as it became available, and helped to develop many new formulations of plastic, some of which are still in use.

As with many cities which saw industrial development in the 19th century, Leominster's industrial character has begun to decline. However, Leominster is still home to many businesses and schools.

If you live in Leominster, Massachusetts and need an attorney,chances are good that you'll be able to find one. Leominster, Massachusetts lawyers are able to hand many different kinds of cases. If you need legal help, you should call a Leominster, Massachusetts lawyer as soon as possible.

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