There is quite a process involved when a property is in default. If the loan/loans are in default, the lender first records a Notice of Default. The borrower has 90 days from the recording of the notice to bring the loan payments current or to make other arrangements with the lender such as a loan modification. If the loan payments are not current after 90 days, the lender can then record a Notice of Trustee Sale giving a date and time for the Trustee Sale. The Trustee Sale is held 21 days from the date that the notice is recorded. If nobody bids on the property at the Trustee Sale, the ownership of the property goes back to the lender. Then, the lender or a third party company representing the lender will hire an agent to market the property. If there are people occupying the property, they have to be evicted or encouraged to leave before the property can be prepared to market. We represent lenders who have properties to market, so we could explain this in much more detail. There is much more to the process than meets the eye.
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