New Jersey foreclosure listings are a combination of both bank and government foreclosed properties. Like all lien theory states, the home remains the guarantee against home equity loans but the home owner enjoys the sole ownership on it during the repayment tenure in New Jersey. To initiate foreclosure the lender has to file foreclosure plea in the court of law to cease borrower’s ownership rights when the borrower default substantially in the repaying of borrowed amount. Here, the foreclosure process is done through judicial intervention and is known as judicial foreclosure.
According to US federal Law all homeowners are bound to pay property tax to the government. Property tax is a major source of income for the federal government. Tax foreclosures occur when government forecloses a property as the homeowner has defaulted in the payment of property tax. The aim of foreclosure here is to recover the unpaid tax amount and the foreclosure cost. Properties under tax foreclosures list are cheaper as compared to bank foreclosed/owned ones.
If the aim of foreclosure is to recover unpaid debt, the lender files the foreclosure plea in the court of law. Court summons all parties having interest in the property and in general approves the foreclosure for recovery of the unpaid loan amount. To handle matters related to foreclosure, there is a special court in New Jersey. It is known as superior court. It issues pending legal action or lis pendens notice on the property whose owner has defaulted on home equity loans. Foreclosure process for confirmation takes around 250 days in New Jersey. However, it is dependent upon a number of factors like home equity redemption period and any judicial action taken by the homeowner/borrower to protect his property. The whole process is delayed when the borrower appeals for delay payment or declares bankruptcy.
Selling of properties appearing at New Jersey Foreclosure listings can be done after the superior court gives ten days interim time period to the borrower. During this time he can repay the unpaid tax or loan amount to stop foreclosure sale. Any failure leads to issue of foreclosure sale notice in newspapers. The sale of the property is done at courtroom through auction. Before purchasing these properties the buyers are advised to make proper equity evaluation of the property. Along with this litigations and pending dues should be checked.
