November 29, 2017

Can my lender kick me out of my home if I fall behind on the payments?

How long you have until you have to move out when facing foreclosure in Connecticut.

Facing foreclosure can be daunting and terrifying! Many homeowners who have fallen behind wonder how long they have to remain in the home. Some even pack up and move out in anticipation, and often unnecessarily so!

IF YOU HAVE JUST FALLEN BEHIND YOU STILL HAVE PLENTY OF TIME.

The state of Connecticut is very homeowner friendly and a judicial foreclosure state. That means the lender has to sue you and win to get possession of the home. Until the home transfers, it belongs  to you, no one can force you to move out.

The timeline on this process varies but usually looks something like this:
ct foreclosure

You miss a few payments: Collections calls and letters begin. If you don’t anticipate being able to make the payments, this would be the best time to start considering your long term options to avoid foreclosure. 

Once you hit 90 days behind: Usually if you have not made any attempts at working things out, around this time the lender refers the matter to a lawyer. You will get some threatening lawyer letters demanding money and threatening foreclosure. You are not yet in foreclosure. This won’t be a fun time, but you still have plenty of time seek alternatives and you do not have to move out.

If you simply continue to ignore the situation (not recommended), usually a few more weeks or months later a foreclosure suit will begin. You will receive a packet of legal documents that very clearly come from a court. These are served by a marshal. You can usually expect these maybe 4-9 months after you have stopped paying if you have made no efforts at a workout.

NOW WHAT? IS NOW THE TIME TO MOVE? NO!

You are now actively in foreclosure…but you still have time. Remember, this property belongs to you until the foreclosure process completes. You have two ways to deal with your foreclosure suit right now.

A: Ignore it: Not the recommended option. CT is a recourse state. That means in a foreclosure a lender can pursue you for their losses. However, if for some reason you choose this option – You can probably expect another 5 or 6 months before the case ends and then the home belongs to the lender. If you have not moved out by this time, the new owner of your home (your former lender) will start an eviction suit.

B: Become active in your case: Connecticut offers a free mediation program for owner occupants facing foreclosure. If you simply respond to your suit and sign up for mediation, you will get yet another opportunity to reach an outcome outside of foreclosure, with a court ordered mediator working between you and your lender. Depending on what alternatives are deemed available to you and how long pursuing those options take, you may have another year or two (in some cases more), to come to a resolution. And again, until the property transfers, no one can force you to move out.


Time is on your side when facing foreclosure in CT! Stay put and get a plan together!

Minna Reid

Minna Reid is a Connecticut Realtor and the Broker-Owner of Reid Real Estate Group. The Reid Group offers years of real estate experience, intimate knowledge of the local market and the highest levels of customer service and professionalism to help guide you through all of your real estate transitions.

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