Foreclosure is a harsh reality many people go through. Therefore, understanding the foreclosure process in North Carolina is an important part of navigating your home foreclosure. We’ll discuss foreclosure, how it works, and a reliable solution North Carolina residents can opt for.

What is foreclosure anyway?

Foreclosure is the legal process that lenders use to take back property securing a loan, generally after the borrower stops making payments. Foreclosure is no fun. But know that it’s not the end of the world. Knowing how foreclosure in North Carolina works is important. It arms you with the knowledge to make sure you navigate it well.

The Basic Stages of A Foreclosure

There are a few stages that are important to any foreclosure process. Foreclosure works differently in different states around the country. The two ways different states use to foreclose upon a property are judicial sale or power of sale. In either scenario, foreclosure typically doesn’t go to court until 3-to 6 months of missed payments have elapsed.


Usually (but not always), a lender will send out many notices that you are in arrears – overdue or behind in your payment. Anyone interested in the property must be notified during either type of foreclosure. Any contractors with liens against a foreclosed property are entitled to collect from the proceedings of an auction.

What Happens After A Foreclosure Auction?

After a foreclosure is complete, the loan amount is paid off with the sale proceeds. Sometimes, the property sale isn’t enough to pay off the loan. In that case, the court can issue a deficiency judgment against the borrower. A deficiency judgment is where the bank gets a judgment against you, the borrower, for the remaining funds owed to the bank.


Some states limit the amount owed in a deficiency judgment to the fair value of the property at the time of sale. In contrast, other states will allow the full loan amount to be assessed against the borrower. Here’s a great resource that lists the state-by-state deficiency judgment laws since every state is different.

How To Avoid A Pending Foreclosure

It’s best to avoid a foreclosure auction. Instead, work with a reputable home buying company like us at Travis Buys Homes. Like yours, we buy houses fast in Charlotte, North Carolina, from people who need to sell fast. By selling your home before the auction, you can pay off your debts and avoid the hassle. 


Don’t wait, we buy homes and are ready to buy your house in foreclosure for sale.



Leave a Reply

Your email address will not be published. Required fields are marked *