What gives someone the right to foreclose?
When you financed or refinanced your real estate, or put your home equity up to guarantee payment of a debt, you signed both a “promissory note” and a “deed of trust.” The “deed of trust” states that the Lender has the right to take title to the real estate if payments are not made according to the agreement. People often refer to a “deed of trust” as their mortgage because the two types of legal documents are similar. In a typical situation, when you get behind on your monthly payments, your Lender calls to see when you can resume making payments and arrange to catch up on the back payments. But the Lender has no legal obligation to work with you. If you can’t resume payment early on, your Lender may be unwilling to work with you once your financial situation improves. When you become 35 days late paying the loan, your Lender has the legal right to start foreclosure. Most Lenders will not begin the foreclosure this soon. To begin a foreclosure, the Lender mails a “Notice of Default an
