Foreclosure laws in Alabama are different from most other state’s foreclosure laws.
If you fall behind on your house payments, the mortgage company will begin the foreclosure process. They will sell your home and force you to move out.
Alabama is a NON-judicial foreclosure state. This means your home can be sold at foreclosure without filing a lawsuit.
The Foreclosure Process in Alabama:
1. Usually, when you fall 3 or 4 payments behind on your house payment, the mortgage company will begin the foreclosure process.
2. The mortgage company many times, will send you letter informing you of their decision to start the foreclosure process, but they don’t always do this.
3. The mortgage company MUST publish a “notice of foreclosure sale” in a local newspaper for three consecutive weeks.
4. After the notice of foreclosure has been published for three consecutive weeks, the mortgage company can sale your home.
5. The foreclosure sale actually takes place at the courthouse (usually outside on the courthouse steps).
6. After your home is sold, the lawyers for the mortgage company will send you a letter informing you of the foreclosure sale and asking you to vacate the home.
7. If you want to preserve your right of redemption, you must vacate the home within 10 days of receiving the letter from the lawyers for the mortgage company.
8. If you don’t care to preserve your right of redemption, as a practical matter, you can stay in the home for another month or two, before you receive a notice from the sheriff asking you to vacate the home.
9. Once you receive a notice from the sheriff asking you to vacate the home, it’s time to leave.
10. For their own peace of mind, I suggest to my client to vacate the home as soon as possible after the foreclosure.