Boston Foreclosure Laws & Lawyers

Boston homeowners have experienced a much lower foreclosure rate than the national average.  While the national average hovers around .27%, Boston foreclosures were at .11% at the end of March, 2009.  In fact, bank REO homes were down from 253 in January, 2009 to just 90 in March.  Despite the lower than average foreclosure rate, almost 3,000 Boston and surrounding area homeowners still face foreclosure.

Boston Foreclosure Laws

Foreclosure laws around the country are determined by state, county, and sometimes local government rulings.  In Boston, foreclosure laws are set by the State of Massachusetts.  In Boston, both judicial and non-judicial foreclosures are allowed.  Non-judicial foreclosures bypass the courts when the security document contains a “Power of Sale” clause pre-authorizing a foreclosure sale if the borrower defaults.

Here is a summary of some important Boston foreclosure laws:

Boston Foreclosure Process

In Boston, foreclosure begins when a lender exhausts all communication efforts with a borrower after mortgage payments cease.  The lender usually tries to contact the borrower and gives them a certain time to make up the past-due payments or face foreclosure.  If the mortgage default is not made up, the lender proceeds with foreclosure action.

In a judicial foreclosure, the foreclosure begins with a complaint in the county court.  The court determines whether a default has occurred and gives the lender an order to sell the property to satisfy the loan.  

With Deeds of Trust and some Mortgages with a “Power of Sale” clause, the lender may begin the foreclosure process outside the courts.  The lender notifies a trustee, usually a title company, escrow company, or bank, that default has occurred and that a foreclosure sale is authorized.  A Notice of Sale must be filed and recorded in the county recorder’s office, and the notice must be sent by registered mail to the borrower.  

Once the Notice of Sale has been recorded, the lender must publish a foreclosure sale notice once a week for three weeks before the sale can take place.  At the foreclosure sale, the property is sold by auction to the highest bidder.  Once the foreclosure sale and auction is complete, the borrower has no right of redemption.

Getting Help for Boston Foreclosures

Homeowners facing foreclosure in Boston can get help.  The City of Boston has sponsored many foreclosure initiatives to help consumers with foreclosure help.  The best help for those facing foreclosure can be found through a certified foreclosure lawyer who specializes in Boston foreclosure laws.  Most Boston foreclosure lawyers will offer a free consultation in order to review the case and determine the best course of action.

• If you may be facing foreclosure or already in the process, Consult Your Case for Free with a local certified Foreclosure Attorney in Boston to see your best options you have available to avoid Foreclosure.