Don't know what to do when you get a foreclosure notice in Nevada? Unfortunately, by the time a Nevada resident has received a Notice of Default they are probably stressed and overwhelmed and think that the proper response is to start packing and look for another place to live. But there is a viable alternative.
Foreclosure Mediation
The State of Nevada, in an effort to confront the foreclosure crisis and keep families in their homes when possible created a Foreclosure mediation Program which began on July 1, 2009. There are over 100 trained mediators who can help homeowners and lenders avoid the pain and expense of foreclosure. According to the State Attorney General website, since the program began and through the end of April 2010, over 74,000 notices of default were filed statewide. A little more than 10% of those homeowners requested mediation and 2,635 mediations have already been completed.
Eligibility
Are you eligible for mediation? The Foreclosure Mediation Program in Nevada is available if you are an owner occupant and the home being foreclosed on is your primary residence. You have to have already received a Notice of Default and your lender had to file an Election to Sell on or after July 1, 2009.
If you are eligible according to the above requirements, then you have 30 days after receiving the Notice of Default to request mediation. This is done by submitting the following to the Foreclosure Mediation Program:
- a non-refundable $200 mediation fee
- completed Election/Waiver Form
- completing the Financial Statement (which in turn includes bank statements, tax returns, pay stubs, etc)
- Housing Affordability Worksheet
- a written confidential proposal as to how to resolve the foreclosure
Note that the forms and instructions will be sent to you in as part of the Notice of Default. As part of this process, the lender has documentation to provide, their own $200 mediation fee to pay and they also submit a confidential proposal on how to best resolve the foreclosure.
Session
Within 135 days of receiving all the documentation and funds, the mediation session is scheduled. The lender has to attend the mediation either in person, or with permission by telephone and the homeowner also attends the mediation. The homeowner has the right to have representation from a licensed Nevada attorney at the mediation.
This program is designed to keep you in your home if possible; familiarize yourself with its benefits and definitely consider retaining an attorney who specializes in Nevada foreclosures to assist and advise you.
