Foreclosure Statistics - Video from Bloomberg.com

What is a Foreclosure - What can I do?

A foreclosures is a legal proceeding that occurs when a homeowner (mortgagor) fails to make the agreed upon mortgage payments and the holder of said mortgage (mortgagee), typically a bank, evicts the homeowner, seizes that property and sells it to another individual.

In the event a homeowner fails to pay on their mortgage, a foreclosure is the primary remedy utilized by most mortgage lenders, in most states, to collect on the debt owed to them. The house is the main collateral or asset the bank has when they issue a mortgage to an individual.

The foreclosure process starts when a homeowner falls behind 90 days on their mortgage payments (this is most typical).