When is the right time to hire an asset manager to protect your vacant property?
If you're a Private Mortgage Lender or an Investor with assets in default, you may be contemplating when the ideal moment is to hire a Property Management Company. Explore the 4-Step Mortgage Default Process below to discover the answer.
STEP 1
When a homeowner defaults on their payments, the Mortgage Lender issues a Notice of Sale after 15 days. This marks the commencement of the Power of Sale process.
12 Gates Property Services:
MORTGAGE FIELD REPORTING.
Our services cater to Mortgage Lenders by providing comprehensive field reports that are vital for effectively managing loans and optimizing cash flow. We ensure timely reporting through interviews, inspections, and collateral verification.
STEP 2
The Notice of Sale includes a redemption date set 35 clear days after issuance. Throughout this period, the Mortgage Lender must wait until the expiry of this redemption window. Following the redemption period's conclusion, the Mortgage Lender can proceed to issue a 'Statement of Claim' for 'Debt and Possession' with the Courts.
12 Gates Property Services:
PRESERVATION
At 12 Gates Property Services, we uphold the structural integrity of each property through securement, repairs, and maintenance services, provided on a routine or as-needed basis. We engage local contractors, licensed trades workers, and service providers for minor to major repairs, ensuring the property's optimal condition and safety.
STEP 3
If the defendant neglects to file a 'Statement of Defence,' the plaintiff proceeds to sign a 'Default Judgment' with the Court. A 'Writ of Possession' is then issued, subsequently filed with the Sheriff in the property's jurisdiction. This action leads to the property being listed for sale.
12 Gates Property Services
PREP FOR LISTING
Our primary focus revolves around the property's appearance and potential areas of obsolescence. We specialize in updating, refreshing, and revitalizing both interior and exterior features of the property that require attention to enhance its marketability.
This Service Includes:
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Minor renovations and repairs
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Renovation reset services
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Thorough deep cleaning
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Landscaping enhancement
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Pre-staging preparations
STEP 4
SOLD!
The Lender (Mortgagee) holds the authority to sell the mortgaged property through a public auction or private contract. The timeframe typically involves 15 days + 37 days + 20 days + 5 days + 10 days, totaling 87 days. The estimated schedule for a Power of Sale falls within the range of approximately 3 to 5 months.
12 Gates Property Services
RECOVERY
Upon sale, the property is marketed at Fair Market Value or potentially higher. We collaborate with local Realtors well-versed in the market, ensuring each property is sold at its full value, avoiding any unnecessary shortfall.
