How to File a Foreclosure

••• Photo courtesy of skagman on Flickr

For many homeowners, foreclosure is their worst nightmare. It can be traumatic both to your finances and your family to lose your home out of an inability to make payments. Sometimes though, homeowners, in realizing foreclosure is imminent, will seek to file a foreclosure and cut their losses where they can. You will have to prove your situation is irreconcilable, if you want your foreclosure filing to be accepted.

Meet with your financial adviser to confirm that filing for foreclosure is the best option. Much like bankruptcy, foreclosure will cause serious damage to your credit rating, but it may be your only option. Do not file for foreclosure unless all avenues for help have been closed to you.

Contact your city or county's public trustee and ask what is needed to file for a foreclosure. You will have to provide proof of home ownership and evidence of your trust. Your public trustee may have other requirements, such as a letter from an attorney confirming your situation and need.

Put together all the required documents, or copies of the documents, and deliver them to your public trustee. You will likely have to pay a foreclosure fee with your submission. Fees vary widely but could be as low as a few hundred dollars.

Wait to hear back from your public trustee regarding your foreclosure. Depending on backlog, most foreclosures can be processed within two weeks.