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A situation in which a homeowner is unable to make principal and/or interest payments on his or her mortgage, so the lender, be it a bank or a Savings & Loans institution, can seize and sell the property as stipulated in the terms of the mortgage contract.
What happens when I miss my mortgage payments?
Yes, Foreclosure can occur. This is the legal means that your lender can use to repossess your home. When this happens, you are required to move out of your house. If your property is worth less than the total amount you owe on your mortgage loan, a deficiency judgment could be pursued. Both foreclosures and deficiency judgments can affect your ability to qualify for credit in the future. So you should avoid foreclosure if possible. | 
