Whenever you want to take a loan to buy a home in Ohio, your signature must be penned down on two documents: a promissory note and the other a mortgage. The mortgage document you signed is what serves as security for your lender; if you stop paying, they will be able to sell your home to gain their money back. However, suppose you have already missed more than 3 to 6 months of payment. In that case, chances are your lender would have already initiated a foreclosure. Before your lender initiates a foreclosure, a 120 days period must have passed in which you are permitted to make inquiries from your lender about alternative solutions.

Foreclosure in Ohio is judicial and requires your lender to file a lawsuit before foreclosing your home. However, the court will give you 28 days to reply with any defenses that can make the foreclosure unfair. If you respond, a hearing will be held, and you can defend your case. If you do it reply, the judge will pass a final judgment of foreclosure, and your home will be sold. There are some things permitted by the Ohio State law that you should know. They will help you understand how to stop the foreclosure better.

Deficiency judgment

After your home is sold, if the amount gotten does not cover your loan, your lender can file a lawsuit for you to pay up the remaining balance. However, your lender might not be permitted to collect the money until two-year after the foreclosure sale has occurred.

Redemption period

In Ohio, you can redeem your home as long as the sale hasn’t been confirmed. It might take days or weeks after your home is sold before the court approves the sale. Therefore you can maximize this period to redeem your home. You will be required to pay off your debt in full and other charges before redeeming your home.