Foreclosure FAQs
Facing foreclosure in Milwaukee and the surrounding areas can be overwhelming, but you don’t have to go through it alone. Our knowledgeable team is here to help you explore your options, understand your rights, and navigate the process with confidence. From assessing your situation and negotiating with lenders to finding alternatives that may help you avoid foreclosure, we’re committed to guiding you every step of the way.
For answers to common foreclosure-related questions and helpful insights, review our Foreclosure FAQs below.
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Foreclosure is a legal process where a lender repossesses a property when the owner fails to make mortgage payments.
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The foreclosure process typically involves six phases:
Payment Default
Notice of Default
Notice of Trustee's Sale
Trustee's Sale
Real Estate Owned (REO)
Eviction
The exact steps can vary by state
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Foreclosure is an orderly legal process that takes at least six months to complete and cannot be started until a homeowner misses four payments.
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Homeowners have several rights during foreclosure:
Right to be notified about foreclosure proceedings
Right to seek legal counsel
Right to remain in the home until the foreclosure process is completed
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Yes, even if a lender has initiated a lawsuit, there are still options available to keep your home. These may include loan modification, forbearance, or other alternatives to foreclosure.
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Forbearance is an agreement to temporarily change or suspend payments. It usually lasts six to twelve months and can be an option for unemployed or seasonal workers.
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If a judgment lien is on your home and the property is foreclosed, the judgment lien is wiped out.
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In some cases, former owners might be able to redeem (repurchase) the property after foreclosure, but this rarely happens.
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There are two main types of foreclosure:
Judicial foreclosure: Requires court approval for each step
Non-judicial foreclosure: Does not require court intervention and follows procedures outlined in the mortgage or deed of trust
Remember, if you're facing foreclosure, it's essential to explore all available options and consider seeking legal advice to understand your rights and potential alternatives.
WISCONSIN IS A JUDICIAL FORECLOSURE STATE
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Judicial foreclosure
In Wisconsin, foreclosure primarily occurs through a judicial process, which involves filing a lawsuit against the homeowner in court. The court oversees the process to ensure compliance with state laws and protect the homeowner's rights.
Steps in the process
The foreclosure process typically begins when a homeowner misses mortgage payments. The lender will:
Contact the homeowner by phone or letter
Send a Notice of Intent to Foreclose
File a lawsuit against the borrower
Serve the homeowner with a summons and complaint
Response
The homeowner usually has 20 days to file an answer to the complaint. If the homeowner doesn't respond, the lender can ask the court for a default judgment, which allows them to hold a foreclosure sale.
Foreclosure mediation
Foreclosure mediation is available in participating counties in Wisconsin. The lender must attach a notice about mediation to the complaint.