Foreclosure occurs when a homeowner is no longer able to make mortgage payments as required. This allows the lender to seize the property, removing the homeowner and selling the home, as stipulated in the mortgage contract.

What happens if I foreclose on my mortgage?

Foreclosure actions can wipe out some of the property owner's debt, such as the original mortgage, home equity loans and second mortgages. If the proceeds of the foreclosure don't cover all the costs of your second mortgage or other home equity loans, you are still obligated to pay those.

How many months can you be behind on your mortgage before foreclosure?

If you're behind in mortgage payments, you might be wondering how soon a foreclosure will start. Under federal law, in most cases, a mortgage servicer can't start a foreclosure until a homeowner is more than 120 days overdue on payments.