Understanding Non-Judicial Foreclosures: What Every Texas Homeowner Should Know
Hey there! Let’s talk about something really important – how foreclosures work in Texas. I know it can be scary when you’re struggling with mortgage payments, but understanding your rights can make a huge difference.
First, let’s clear up a common misconception: Banks don’t automatically get your house when you miss payments. That’s actually a myth! The truth is much more favorable to homeowners. Even in foreclosure, there’s a process designed to protect you and ensure you get fair value for your home.
Our firm has a reputation for winning cases and the method we use is the basis for all our Trial Attorney work in Texas.
In Texas, we have two ways foreclosures can happen. Think of it like two different paths to the same destination:
- 1
The judicial path (through the courts)
- 2
The non-judicial path (without court involvement)
Here’s the good news – if you’re facing foreclosure in Texas, you have more time and options than you might think! The bank must follow specific steps, and knowing these steps can help you protect your home:
First Notice (20-Day Notice): When you fall behind on payments, the bank must give you a 20-day heads-up. This is your golden opportunity to catch up on missed payments. Don’t ignore this notice – it’s actually your best chance to save your home!
Second Notice (21-Day Notice): If you couldn’t catch up during those first 20 days, the bank will send another notice giving you 21 more days before any auction. But here’s the catch – at this point, they can demand the entire loan amount, not just the missed payments.
The external narrative (the one used in court) is that there is insufficient evidence that the Trust possessed the subject loan, and inadequate evidence that the so-called servicer had any right to service the loan.
Important Tip: Act quickly when you get that first 20-day notice! It’s much easier to catch up on a few missed payments than to come up with the entire loan amount later.
In Texas, if everything proceeds, foreclosure auctions happen on the first Tuesday of each month at the courthouse. But remember – you have rights and options throughout this process, especially in those early stages.
Need help understanding your specific situation? We’re here for you! We offer consultations to help you understand your options and protect your home. Don’t wait until it’s too late – reach out to us today, and let’s talk about how we can help you navigate this challenging time.
Remember, knowledge is power, and understanding these processes is your first step toward protecting your home and your future!
DISCLAIMER: As with many of the videos in the Texas Real Estate Attorneys digital library, this non-judicial foreclosures video is only intended as a short introduction to the Texas foreclosure process. This video is not intended as legal advice and should not be relied upon if you or someone you know is facing a foreclosure. Please make sure and get competent counsel to help you if that is the case.