Preferred Foreclosure States - Requirements

[David Hite]

Hey everyone!

  I am delving into the note-investing world!  I am still in the data gathering/learning phase.  

  Although to start I want to focus on 1st Lien Performing Notes, I want to narrow which states I buy in based on the foreclosure requirements and how friendly that process will be towards us as the note-holder.

  In browsing the forums, someone posted the following link: madisonmanagement.net/investors/foreclosure-by-state/

  This seems like a pretty good chart with some of the basic requirements of each state in the foreclosure process.  (I am not worried about specific fees and anticipated costs, I know those can vary).

  I had some questions on some of the other items listed, and wanted your input on which of these items are "make or break" when it comes to choosing which states to purchase notes in.  I am looking in general for states in which IF foreclosure becomes needed, that it will be the least amount of hassle/time (there will always be hassle/time, but looking for less if possible!).  My goal is to not have to get to this point, but it will inevitably happen, so want to be in a good position to start.

Foreclosure Type: From what I gather, Non-Judicial is easier/faster

Acceleration Letter: I know what it is, the letter that states either pay in full (with late fees etc.), by date or will go to foreclosure.  I would assume that a state that doesn't have this requirement would be easier?

Redemption Period: Not sure, I assume its a timeline to repay in full or will move forward.  Kind of the same thing as the acceleration letter?  I would assume that less is better.

Eviction period: Not sure, assume that its a timeframe that the current tenant has to evict before the foreclosure process can move forward.  Would be better without one I would assume.

Deficiency Judgement: Also not sure, but anything that doesn't require judicial intervention should be more straight forward).

Sale: Is it preferred to have one sale type over another?

Any info would be greatly appreciated!

Dave