If no legal action is filed to stop the foreclosure, and the home is sold at a sheriff’s sale, the homeowner has a 6-month redemption period. A sheriff’s sale can take place anytime after the advertisement of sale has run for 4 consecutive weeks. Within 15 days after the first advertisement is published, the foreclosing entity must post a copy of the notice in a noticeable place on the premises, which is usually the door. The advertisement must run for 4 consecutive weeks. If a mortgage is foreclosed by advertisement, the foreclosing entity must advertise that the home will be foreclosed and sold in a local newspaper in the county where the home is located. Michigan has two processes- judicial foreclosure and foreclosure by advertisement.įoreclosure by advertisement is the most common method of foreclosure in Michigan. What is the process for mortgage foreclosure in Michigan? The facts of every person’s case are different, Therefore, you should consult with a housing counselor and/or an attorney to obtain the best advice for your particular situation.ġ. We comply with the Federal Trade Commission 1998 Children’s Online Privacy Protection Act (COPPA).The information below is a basic summary of the law.
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Many Michigan State University Extension offices have HUD-approved housing counselors who offer free housing counseling. My news articles on Februand Augdescribed other changes to Michigan’s foreclosure laws became effective in 2014. Bidders must register and foreclosed properties can be sold quicker. These laws give county treasurers the ability to work out repayment plans with tax delinquent homeowners and waive associated fees which add up over several years. Preventing foreclosures is a statewide concern. House Bill 5398 allows a foreclosing governmental unit for a county (other than the State) to acquire property owned by the State, the Federal government, a land bank fast track authority, or another governmental entity, to facilitate the sale of tax reverted property. The requirement prevents bidders from purchasing homes and buildings if they are found to have outstanding tax payments, unpaid blight fines or a history of financial negligence. Senate Bill 295 requires people interested in bidding on foreclosed property to register with the government unit holding the property at least 14 days before a property sale.
Also, county treasurers are now able to waive additional monthly interest accrued once the payment plan is completed. In other words, homeowners delinquent on their property taxes should be proactive and contact their county treasurer to request working out an agreeable repayment plan. The foreclosing governmental unit will create the payment plan and agreed upon by the landowner. House Bills 48 allow homeowners facing financial hardship to use a payment plan to meet tax responsibilities and avoid foreclosure.
The bills are now Public Acts 499 to 502 of 2014, respectively. The objectives of these laws are to help homeowners overcome hardships and meet their legal responsibilities, reduce the number of vacant properties, improve public safety, increase tax revenues for city and county government services, and prevent delinquent taxpayers from purchasing additional foreclosed properties. While there a large number of tax properties in Wayne County and Detroit which have received foreclosure notices, these laws are statewide. Governor Snyder recently signed four additional laws in Michigan to help prevent foreclosure and keep people in their homes.