What is a pre-foreclosure?

Just this morning a fellow agent asked about “pre-foreclosures” that his client sees listed on zillow.com.  As I told him I have been working with Wells Fargo Bank’s foreclosed property management group for nearly eight years in both Lincoln and Omaha and am baffled by the trend of labeling and even advertising properties as pre-foreclosures.  In general pre-foreclosure is used to describe the period of time between when a notice of default has been filed and the property is sold at a trustee sale or sheriff’s auction.   What needs to be understood is that, theoretically at least, the mortgagor has every right and opportunity during this period to cure the default whether it is payment of the accelerated debt, unpaid insurance, property taxes or assessments.  Assuming that the mortgagor has equity in the property, or otherwise has the capacity to do so, it is certainly within their rights to sell the property during this period although this is rarely the case. More often than not this is where a short sale comes in. What most buyers do not understand is that in can be months or even years after a notice of default has been issued  before a bank will offer a foreclosed property for sale.  If you are aware of a particular property in our Lincoln – Omaha marketplace that you believe is or will be offered as a foreclosure sale feel free to contact me. Remember whether buying or selling, moving up or downsizing, Lincoln or Omaha, the Vaccaros; Paul & Susan, stand ready to assist you, your family, friends and co-workers. Call or email us today! Lincoln (402)817-0355 , Omaha (402)577-0820, info@WeSellNebraska.com (Paul & Susan Vaccaro – CBSHome Real Estate 15950 W Dodge Road, Suite 200, Omaha, NE 68118 – Woods Bros Realty 3737 S 27th Street, Lincoln, NE 68502.

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