The problem of foreclosed property in Oakland County, Michigan is a very serious one. Foreclosed homes in Oakland County, Michigan are numerous and some of them have been in foreclosure or pre-foreclosure for the past many months.

The causes of foreclosure of properties and homes in Oakland County, Michigan are mainly two.

The major one is the failure of home and property owners to meet up with their monthly mortgage loan payments to their lenders. Often, this is not due to any fault of their own but simply bad circumstances: the bad economy, job loss, medical emergency, etc.

The second cause of foreclosed property in Oakland County, Michigan is failure of an owner to meet up with their property taxes. Where a home owner fails to make regular payments on their mortgage loan for three consecutive months in Oakland, Michigan, the lender then gives them notice of pending foreclosure of their property.

This notice is usually placed in a local newspaper called The Legal News for the span of 4 weeks.

The defaulting homeowner has about six months to redeem their home after the home is auctioned off at the sheriff's sale, which happens 28 days after the first notice of default.

If they do not make adequate arrangements with their lender before the expiration of this period of grace, the property or home goes into foreclosure.

There are several options open to stop foreclosure by the mortgage debtors.

Some of these options are: short sales, lease options, buying the property through refinancing, and bankruptcy.

Each of these options has their pros and cons. The choice of what option to take depends on the present financial position of the mortgage defaulter and his perceived immediate future prospects.

Where an owner of a pending foreclosed property in Oakland County, Michigan chooses the option of a short sales or FSBO (For Sale by Owner), they have to ensure that they are able to get a buyer for their home before it goes to auction. A real estate investor may contact you (or you can contact a real estate investor) to execute a short sale for you.

The investor will get a signed understanding with you that you want their assistance, and they will try to work with your lender to buy the defaulted mortgage note at a discount.

The bank may allow the short sale to happen to avoid having to take the property back at the sheriff's auction and save itself tens of thousands in various fees.

Where a defaulting mortgage debtor chooses lease options to redeem their foreclosed property in Oakland County, Michigan, and save it from the auctioneer’s hammer, they can make arrangements by finding tenant-buyers who are willing to lease their property with an option to purchase it.

Lease options are a great way to avoid foreclosures, and they also have numerous benefits to the homeseller because the tenant-buyers, due to typical credit issues, are willing to pay a higher rent per month.

The higher rent collected is now used to offset the mortgage loan payments by the defaulting debtor.

The problem with lease options is they usually take some time to locate a tenant-buyer for the property. And when you are facing foreclosure, time is of the essence. This is why you may also want to work with real estate investors like us who may be able to find you a tenant-buyer more quickly for your home if you are facing foreclosure and execute the transaction for you.

Another option to consider if you have a lot of equity is refinancing a pending foreclosed property in Oakland County, Michigan. This may allow you to lower your monthly payments and create a new mortgage. However, this option will only work for people who can afford to pay for the refi, and have income coming in to actually make the new lower monthly payments.

The causes of the recent spate of foreclosed homes and property in Oakland County, Michigan can be traced to the depressed property market. A lot of homes went into forclosure in Oakland County, Michigan, because of the loss of jobs by the owners of these homes as a result of the recent downsizing by the automobile manufacturing companies. The State of Michigan has the highest number of automobile manufacturing workers in America.

Dan Ho is a real estate investor in Michigan. Visit forclosed property in Oakland County Michigan to learn more about the Michigan foreclosure process, and to get a deeper understanding of short sales, lease options (also called rent to own), and other tactics to avoid a foreclosure. http://www.buy-sell-michigan-real-estate.com is the definitive resource for motivated sellers, buyers, and real estate investors in Michigan.

Source: www.articletrader.com