subject: Ohio Foreclosures And How They Work [print this page] Ohio foreclosures basically have the same foreclosure rules just like most other states. So if you have any plans to relocate and find some properties in Ohio to own a residence or invest in a property, then there are certain rules and regulations that you may need to know about Ohio foreclosures.
Foreclosure Process in Ohio
Just like in any other foreclosure regulations, a notice will be served if the owner fails to pay or is behind on payments. And if you are too far behind to save the property and not answering any of the bank requests, the bank will file the notice of foreclosure in the local court.
After the notice has been issued, local court will conduct a hearing.
When the notice is turned over to the Sheriff, a real estate agent will be hired to dothe property appraisal and will have the property advertised for three weeks.
On the announced date at the Sheriff Sale, the home will be sold to the highest bidder.
As soon as the highest bidder enters the agreement contract, he or she is required to put down ten percent and the remaining balance is payable in 'x' amount of days. (The days differ by county.)
If the debt is paid off until the deed is filed, he the right for redemption or can still have the property back.
There is no stautory right of reclamation in Ohio but in many other states, this is an extra barrier in buying the property. The statutory reclamation will be added on to the home on the day of the Sheriff Sale, thus giving the orignal owner the right to keep the property.
Recent statistics showed that more than one percent of all homes were on the verge foreclosures around the world in the year 2007 and 0.58 percent of those faced foreclosures in 2006. One of the states that was enormously affected and had the highest foreclosure rate was Ohio, although not as high as Florida or California. But it was noted that one in every fifty-six households in Ohio entered some point of foreclosure in 2007.
The only positive thing in Ohio foreclosures is that the process takes longer than average procedure before it will be finalized in the state. Also, Ohio homeowners have the right to respond to the Notice of Default in the court and challenge the law within twenty eight days to delay the foreclosure for a while until they can pay their dues.
But as a homeowner, if you plan to sell the property, the grace period or pre foreclosure is a great opportunity for you to find a buyer since there are a lot of investors out there who are willing to purchase any property at a discounted price.
And if you are an investor, you may have to find and contact the homeowner before the actual foreclosure process begins. Some owners are prepared to sell the property at a lower price and save their credit rating.
Also, the some banks and lenders are not so anxious about foreclosing the property because during the lengthy process of Ohio foreclosures, they will still have to pay for insurance, property taxes, maintenance, and so on.
This is a win-win situation for everyone involved. The owner will be able to pay his bills, get as much back from the equity,save his or her credit rating and start anew with as little damage, the bank or lender will not lose money from the lengthy process of foreclosure; and the investor can save a lot and earn as much profit in buying the property at a discounted price.
