What is Foreclosure in St. Clair Shores, Michigan?

Find the right Foreclosure Bankruptcy attorney in St. Clair Shores, MI

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 St. Clair Shores, Michigan has repeatedly failed to make their payments. When a house is foreclosed, it is normally sold at auction shortly thereafter. This is because banks normally want to get rid of the property as soon as possible, even if it means losing some money, and an auction is an easy way to do this.

In every state, including Michigan, 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 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 St. Clair Shores, Michigan 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 Michigan?

First, you should never ignore the matter. As unpleasant as it seems, it is essential to stay on top of the issue. Ignoring the problem will never make it go away. You should remember that banks in St. Clair Shores 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 can't reach a solution with your lender, there are other options. You could, for example, try a "short sale," which allows you to sell your house for whatever amount you can get, and use the proceeds to pay your mortgage. If the house sells for less than you owe, the bank will get the proceeds of the sale, and the rest of the debt will be forgiven. You may also consider a "short refinance" which allows a chunk of the debt to be forgiven, and lets you refinance the rest.

How Can A St. Clair Shores, Michigan Attorney Help?

If you are worried about foreclosure, a good St. Clair Shores, Michigan real estate lawyer might be able to help. A lawyer can increase your chances of keeping your home, and help minimize the financial impact if keeping it proves impossible.

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Life in St. Clair Shores

St. Clair Shores is a suburb along Lake Saint Clair. Specifically, it is in Macomb County and is about 13 miles northeast of downtown Detroit.

After World War II the area grew from a small resort community along Lake Saint Clair to a decent sized suburb. Per the 2010 census, its population is 59,715 people.

The city is well-known because every Memorial Day, it is host the the Memorial Day Parade. Also, Michigan residents know the area well because of the "Nautical Mile" site. This site is a strip of Jefferson Avenue between Nine Mile and 10 Mile roads, and is home to retail stores, boat dealers, good restaurants and cafes, and marinas. Basically, it is a popular site for residents and tourists to visit.

Many may not know, but St. Clair is where the Miss America Organization is located. Other popular attractions include Car City Records and Crows Nest East.

There are also attorneys in this area that are able to provide legal services to residents in need.

All in all, St. Clair Shores is a wonderful place to live and visit!

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