What are the consequences of a foreclosure?
In a foreclosure the lender seizes your property as collateral for its home loan. You’ll lose not only your home but all the equity you’ve invested in it. The foreclosure becomes a matter of public record and stays on your credit report for seven years. In some states, you can be liable for any loss the lender experiences in selling your house. It will take at least two to three years, possibly quite a bit longer, before you find any lender with a reasonable enough interest rate for you to consider buying another home.
