Title: Foreclosure Explained: How and Why It Happens
Headings: Foreclosures Explained: How They Work and Why They Happen
Managing a Home Loan Foreclosure and Short Sales
Foreclosures Explained: How They Work and Why They Happen
Understand the process that allows a bank to take your house
Why Foreclosures Occur
How Foreclosures Work
Consequences of a Foreclosure
How to Avoid a Foreclosure
Article Sources

Content: Lenders might say that you can reinstate the loan anytime after the "Notice of Sale" up until the foreclosure date (the sale date) and stay in the home if you make all (or a substantial portion) of your missed payments and cover the legal fees and penalties charged so far. You might also have an opportunity to pay off the loan in its entirety, but this may only be feasible if you manage to refinance the home or find a substantial source of money. 11 ﻿
Be prepared for an auction and eventual eviction. If you’re unable to prevent foreclosure, the property will be made available to the highest bidder at an auction that either the court or a local sheriff's office runs. If nobody else buys the home (which is common), ownership goes to the lender. At that point, if you’re still in the house (and haven't made arrangements to protect the house ), you face the possibility of eviction, and it’s time to line up new accommodations. Local laws dictate how long you can remain in the house after foreclosure, and you should receive a notice informing you of how long you can stay. Ask your former lender about any “cash for keys” incentives, which can help ease the transition to new housing (assuming that you’re ready to move quickly). 12 ﻿
Get a second chance through a redemption. Many states offer what is known as redemption, a period after the foreclosure sale occurs when you can still reclaim your home.