What does pre foreclosure mean? Pre-foreclosure refers to the early stages of a home being repossessed owing to a mortgage default by the property owner.
House Foreclosure is the process in which the bank or lender takes the right of the home from homeowners. The bank or the lender where the household borrowed the money has the right to evict the household within the home and control the property.
This means that the household will not have the proprietorship with the home once it becomes foreclosed. On the other hand, most of the banks or lenders still sell the property within the market to recover their financial loss.
Typically, house foreclosure happens when a household is not capable of paying the mortgage loan that was used to buy the home anymore.