In these challenging times, homeowners face a tough time due to the harsh foreclosure laws.
However, with the combined support of the state laws and various local orders in Iowa, homeowners can surpass this condition by putting up plausible records of financial hardships that may have been caused due to COVID-19.
Only those homeowners with federally backed mortgage loans can opt for the COVID-19 Iowa Eviction and Foreclosure Prevention Program.
What does the COVID-19 Iowa Eviction and Foreclosure Prevention Program imply?
The COVID-19 Iowa Eviction and Foreclosure Prevention Program are necessary to ease the burden off Iowa, homeowners who face difficult financial conditions and cannot abide by foreclosure law.
So, if you are a homeowner in Iowa who is due on payments, you must submit a loss mitigation application to the servicer as soon as possible.
What are the attributes of the foreclosure law in Iowa?
Under the Foreclosure law in Iowa, the homeowners are given the following rights:
- Receiving notices that are related to the pre-foreclosure procedure.
- Applying for loss mitigation under 120 days of failed payments.
- Receiving the call for foreclosure and preparing for a response in court.
- Paying the entire loan amount to omit the chances of a foreclosure sale.
- Receiving the extra sum of money after the sale, if any.
So, if you are a homeowner in Iowa and currently running late on the due payments for your house, you are recommended to take these amendments seriously.
If you can take the right actions in time, you will be saved from unwillingly selling off your property and presented with relief and comfort.
How and when does foreclosure begin?
If you are a homeowner in Iowa and have missed your due payments to be received by the servicer, you are exposed to the procedure of a plausible foreclosure.
However, as per the laws of Iowa, homeowners are rewarded with a tenure of 120 days to pay off their dues or send a loss mitigation application to the court under the servicer’s name. 120 days is a generous time frame to apply, and due to the current social conditions, you can prevent foreclosure very effectively.
The Iowa judicial foreclosure laws require lenders to mail a notice of foreclosure to the borrower within 30 days from the date.
- A demand for payment of the remaining accelerated balance should be sent within 14 days before the date.
- Lenders can reinstate the loan within 30 days from receipt of notice by the borrower; however, no special protection for high-cost foreclosures will be given to borrowers.
- The laws do not provide the right of redemption or deficiency judgments under both processes.
If you are looking for help from a lawyer, you can find it here.