Fortunately for homeowners in the United States, the number of foreclosures is down. For March 2014, the National foreclosure number was approximately 7,200. Those homes in foreclosure in Virginia totaled 12,385. Overall, the rate in Virginia is lower than the national average and has been since the economic crisis of 2008. In fact, the level of foreclosure in Alexandria, VA is actually less than it is in the rest of the state.
Foreclosure in Alexandria VA
For the period from March 2013 until March 2014, statistics indicate that the rate of foreclosure in Alexandria, VA continued to trail both the national and state average. The same pattern has continued through the months up to May. There is little doubt it will hold solid for the entire year and, hopefully, into the next. While its rates may not be the lowest, this is something to cheer about. It is a reasonable indication that the economy continues to recover, albeit it slower in some parts of the United States and Virginia than others.
The foreclosure rate has a pattern. In terms of homes going into foreclosure, the majority of property owners are not owners of traditional homes. In Alexandria, VA, the main component of foreclosure procedures is condominiums. The greater part of this action occurs in the city’s West End.
What Is a Foreclosure?
A foreclosure is the process through which the homeowner forfeits the property to the mortgage holder e.g. bank, lending company, upon failure to maintain the appropriate and arranged mortgage payments.
Types of Foreclosures
When it comes to foreclosure, Alexandria, VA is part of the national norm. It has access to the two basic types of foreclosures. These are: Judicial and Non-judicial
* Judicial: In this type of foreclosure, the original contract does not contain a power of sale clause. The order to carry out the process is handled through the courts. Using a lawsuit filed by the holders of those who have invested in the debtors mortgage e.g. lenders, banks, mortgage agencies, the lenders go to a judicial court. If they are successful, the judge will mandate an order of foreclosure. As a result, the property will be put up for auction. Yet, although a new owner may take possession of the property, the old homeowner has two hundred and forty (240) days from the sale date in which to come up with the money to buy back the property. In order to do so, the old owner must pay the new owner the sum paid at auction plus an additional six (6) percent interest.
* Non-Judicial Foreclosure: The mortgage or deed of trust contains a power of sale clause. This grants the mortgage holder the right to sell off the property to recoup any loss. As is the case with legal actions, certain obligations must be met and steps followed in order for this to occur.
If you are uncertain as to how to handle a potential foreclosure in Alexandria, VA consult a lawyer. He can explain the possible measures you may be able to take to prevent this event from occurring. Visit Andrews Law Firm for more information.
