What You Have to Know About Hawaii Foreclosures
It is essential that you are able to know the consequences that you can actually expect from such Hawaii foreclosures. You must know that they are often judicial. But, you must know that this is not often the case. In 2011, Hawaii passed such Mortgage Foreclosure Dispute Resolution Program which just applies to the nonjudicial foreclosures. In this regulation, the lender that is seeking nonjudicial foreclosure should provide foreclosure mediation to the homeowner. In order to circumvent such program, many Hawaii lenders do prefer judicial foreclosure. Due to this, understanding such Hawaii property laws can help you out to do the serious damage control as such foreclosure looms. Know the tips on how you can surely avoid the foreclosure.
These are the things that you have to know. With the Hawaii law, if the nonjudicial foreclosure is uncontested, the lender may actually foreclose the property in two to three months. But, with just a few legal actions, the process would take a lot longer. This is certainly the power of information. Through having the right knowledge, you may stop foreclosure. These are the things that you must know to understand how the Hawaii foreclosure laws actually work.
The Hawaii law does recognize the two types of foreclosure and they are the judicial and the nonjudicial foreclosure. These two are actually governed by various laws. Through the judicial foreclosures, the Dodd-Frank act of 2010 prevents the lenders from initiating such foreclosure unless there is a delinquency of 120 days on the homeowner. After 120 days, the lender then files a lawsuit that is compliant under the Hawaii law. The homeowner would then receive a copy of the same plus summons.
With this, the homeowner has twenty days to respond to such lawsuit and failure of doing so would let the court rule in the favor of the lender. Following that winning case, the property sale isn’t still legal until such notice of sale has been published in the newspaper for 3 weeks.
On the other hand, the nonjudicial foreclosures don’t actually follow such court process. What the lender simply has to do is to satisfy those requirements being outlined in the Hawaii Revised Statutes Section 667. There is such notice of the lender’s intent to have the property foreclosed which should be published once each week for three weeks. The property sale can only happen at least fourteen days following the last notice is published. Moreover, that notice of sale must be posted on the property for 21 days before the sale.
That nonjudicial foreclosure in Hawaii becomes possible only where the mortgage has such power of sale clause. When this isn’t the case, then the lender can just go for the judicial foreclosure.