How Far Behind on a Mortgage Can You Be Before Foreclosure?

The laws governing foreclosure for residential property differ from state to state, so the period of time before the process can begin varies. However, a good rule of thumb is that after three months (90 days), the lender can usually begin foreclosure in earnest.

Delinquency

When a mortgage holder misses one or two payments, he is considered delinquent on the mortgage. Foreclosure is not an option at this point, but lenders will usually warn the borrower through letters and phone calls that he needs to resume payments or risk losing the property.

Default

After three months (90 days), non-payment of a mortgage generally puts the mortgage in default. At that point, under most state guidelines, lenders can start the foreclosure process by filing a Notice of Default with the relevant county government. That fixes a specific time in the future -- often after 30 more days, but not always -- when the property can be sold at auction by the lender.

Preventing Foreclosure

Paying the missed payments, sometimes as late as a few days before the foreclosure auction, will prevent foreclosure. Also, in some cases, the lender will work with the borrower to modify the terms of the loan, which may make it possible for the borrower to become current on the mortgage and thus prevent foreclosure.

References

• BiggerPockets.com: The Foreclosure Process
• ForeclosureProcess.org