I’m interested in buying a home in foreclosure, but I don’t know what the different stages are or what they mean. I’ve seen “notice of default”, “real estate owned”, “notice of foreclosure sale”, and “pre-foreclosure.” Can someone please tell me the stages (from beginning to end) and what that means to me as the potential buyer? Thanks.

2 families miles apart, both have mortgages around $2000 a month.

Family #1 see problems in the future so they save their money, cut expenses and brace themselves for the turmoil of today. They are fortunate enough even though with the drop in employment, they so far have successfully suffered through these tough times Barely making each mortgage payment.

Family #2 on the other hand did not prepare at all. They went about their daily lives and did not change their spending habits. Soon enough they were falling behind on their mortgage payments and other bills. They are now on the foreclosure list waiting anxiously for some government mortgage bailout help.

Who do you feel needs the help?
Family #1 are just getting by with their existing mortgage.
Family #2 have no money and are in foreclosure.

Family #2 gets ALL the help. They get a reduced interest rate on their mortgage and possibly even a reduced amount on the principal amount of the total mortgage.

Family #1 gets NOTHING. They get no reduction in their mortgage interest rate and must continue to pay their full mortgage on a home that has lost almost $100,000.00 in value.

How do you feel about the way the gov’t is handling the mortgage crisis after reading this story that was on the news this morning?
Good Answer Carl Marx, only thing is Family 1 can’t sell because their home is not worth todays values and probably can’t refinance either because they have negative equity.
Dave S, not according to GMA on this morning. Family #1 is going to get no help at all.