Maryland Eviction Process After Foreclosure
In tough economic times foreclosure can become a very real possibility for many homeowners. Luckily for Maryland residents, as of April 4, 2008, Maryland adopted new laws to give additional time to those facing foreclosure. Under the new law additional notice must be given to provide those in financial distress additional time to either catch up on payments or prepare to leave their home. This typically allows a family facing foreclosure additional time to leave.
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When a Foreclosure Begins
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Lenders must wait to file foreclosure proceedings in a Maryland court until you are 90 days late in your payments. According to Maryland’s Department of Labor, Licensing and Regulation, lenders have to provide a minimum of 45 days notice that they are preparing to foreclose on your property. This means it is possible that as soon as you are 45 days late your lender can notify you they will begin proceedings within 45 days if you do not catch up on your payments.
Providing Notice of Proceedings and Notice of Sale
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If you cannot find a way to keep your house, it is important to take note of how the new Maryland law affects the time table of a foreclosure. The lender must serve you in person, by posting papers on your property or by certified mail once they have filed a foreclosure action against you. From that point you have 45 days before your house may be auctioned. They must advertise the sale of your house publicly three times (a period of three weeks) within a newspaper before it goes to auction.
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Length of Time To Catch Up Payments
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You have until the day before the house goes up for auction to catch up on your mortgage. Maryland does not allow “right of redemption” once the house is sold. The Maryland State Bar Association advises if you wish to keep your home but cannot come up with the money to do so before the auction, consider filing Chapter 13 bankruptcy. You must do so before the auction will place a hold on the sale of your house. If you bankruptcy petition is granted you will have up to five years to pay back any late fees and bring your mortgage into current and good standing.
After Foreclosure--Eviction Process
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Many families leave before their home reaches this stage of foreclosure. If the court ratifies the sale the new owner (or bank) can petition the court to have you evicted. The new owner or the bank will have to go to court to file an eviction. The judge will set a date you must move out by. If you are still there on that date, a sheriff will come to enforce the eviction. Any property you leave behind is forfeited.
If the new owner accepts rent, they must give you 30 days written notice to vacate before they can file it in court. Ultimately the judge decides how long you can stay in your former home. Many banks provide a week or two for families to move out but under Maryland law they are only required to give seven days notice to leave a house once it has officially been foreclosed on.
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References
- Maryland Attorney General’s Office: Landlords and Tenants: Tips for Avoiding Disputes
- Debtworkout: Foreclosure and Eviction FAQ
- The Maryland State Bar Association: Foreclosure Proceedings in Maryland
- TheFredrickNewspost: Deputies Notice Rise in Evictions and Foreclosures
- Maryland Department of Labor, Licensing and Regulation: Your Rights and Protections Under Maryland’s New Foreclosure Laws
Resources
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