Foreclosure Process

Most Arizona home foreclosures are by Trustee Sales.  This is an out of court legal process or non-judicial means of the lien holder to take back the property.  From the time the Notice of Trustees Sale is recorded with the County Recorder's Office, the process takes about 90 days. During the foreclosure process the proeprty owner still has the option to sell, refinance the property or reinstate the mortgage.  The owner can request a reinstatement quote for the amount needed to become current and cure the default.

Deed-In Lieu

This is signing the property back over to the lender.  It means that in lieu of the Foreclosure the homeowner is voluntarily giving the home back to the lender. This saves the lender time and money.  In these market conditions, the lender will typically still advise the homeowner to continue to market the property for sale before they will consider this option.  See Short Sales.  

Common Mistakes

The worst thing that a homeowner can do is walk away and abandon the property.  Once a home is vacant it is a target for vandalism and ultimately you as the homeowner will be responsible.  Don't let the Homeowners lnsurance lapse.  What if there was a fire or a fatal accident on the property?  Who is the owner?  Not the lender; it is you the homeowner.  Also do not sign a Quit Claim Deed over to an investor or Company.  They are looking out for their best interests, not yours.