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Is 120 Days Late on a Mortgage Same as Foreclosure
I being 120 days on a mortgage loan the same as a foreclosure. I have someone who was late 150 days on a mortgage and cannot get a mortgage loan approved because lenders are saying a 120 mortgage late is no different than a foreclosure.
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1 Reply
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120 days late on mortgage payment is not the same as a housing event.
Being 120 days late on your mortgage payment typically does not immediately result in foreclosure, but it puts you at significant risk of foreclosure proceedings. The foreclosure process varies depending on the lender, local laws, and the specific terms of your mortgage contract. However, in many cases, once you fall significantly behind on mortgage payments, the lender may start the foreclosure process.
Foreclosure is a legal process through which a lender takes possession of a property because the borrower has failed to meet the terms of the mortgage agreement, usually by not making payments. The exact timeline and steps of foreclosure can vary by jurisdiction, but typically, lenders will initiate foreclosure proceedings after a borrower has missed several payments, often around 90-120 days past due.
It’s essential to communicate with your lender if you’re struggling to make mortgage payments. Many lenders offer assistance programs or can work with borrowers to find alternative solutions to foreclosure, such as loan modifications or repayment plans.