What happens if I can't pay my mortgage in Prince George's County?

If you own a house in Prince George's County, MD and you are dealing with foreclosure, this page covers what actually happens next — the local timeline, what it costs, and the options that stay open to you. Everything below is specific to Prince George's County and how sales are handled in MD, not generic national advice.

Direct Answer

If you cannot pay your mortgage in Prince George’s County, your lender will eventually start a legal process called foreclosure to take back your home. In Maryland, this is a 'quasi-judicial' process, meaning the lender must file paperwork in the Prince George's County Circuit Court, but they do not always need a full trial to sell the house. You have several legal protections, including the right to request mediation with an administrative law judge and the ability to stop the sale by catching up on payments until just before the auction.

Key Details

Foreclosure does not happen overnight. It is a series of steps designed to give you time to find a solution. The process usually follows this path:

1. Missing Payments (Day 1-120): Most lenders cannot officially start the foreclosure process until you are at least 120 days behind on your payments, according to federal law. During this time, they will send you letters and call you. This is the 'pre-foreclosure' period where you should talk to a housing counselor.
2. Notice of Intent to Foreclose (NOI): At least 45 days before the lender files a case in court, they must send you a 'Notice of Intent to Foreclose.' This letter is a formal warning and must include a loss mitigation application, which is a form you fill out to ask for help, like a loan modification.
3. The Order to Docket (OTD): This is the official start of the court case in Upper Marlboro. The lender's lawyers file this in the Circuit Court. Once you are 'served' with these papers, the clock starts ticking on your rights to mediation.
4. Foreclosure Mediation: If the home is your primary residence, the lender must offer you mediation. You have 25 days after receiving the 'Final Loss Mitigation Affidavit' to file a request for mediation with a $50 fee. Mediation is a meeting where you sit down with the lender's lawyer and a neutral judge to try to reach a deal.
5. The Foreclosure Sale: If you don't reach an agreement, the home is sold at a public auction, usually held on the steps of the Prince George's County Circuit Court. You must receive a notice of the sale date at least 10 days before it happens.
6. Ratification and Possession: After the auction, the court must 'ratify' or approve the sale. This takes about 30 to 45 days. You do not have to move out until the court ratifies the sale and the new owner gets an 'Order of Possession.'

MD-Specific Laws

Maryland laws are very specific about your rights and the lender's duties. The primary law governing this is Maryland Code, Real Property § 7-105.1.

• Timeline: A foreclosure filing (Order to Docket) generally cannot happen until 90 days of default under state law, though federal rules usually push this to 120 days.
• Right to Reinstate (§ 7-105.1): You have the legal right to 'reinstate' your loan (pay all back payments and fees) at any time up to one business day before the foreclosure sale.
• Right to Redeem: You can 'redeem' the property (pay the entire loan balance) until the court ratifies the sale. However, there is no 'post-sale' redemption period in Maryland. Once the court signs the ratification order, you cannot get the house back.
• Deficiency Judgments (§ 7-105.17): If the house sells for less than what you owe, the lender can sue you for the difference. In Maryland, they have 3 years after the sale is finalized to ask the court for this money.
• Foreclosure Mediation (§ 7-105.1): This is a critical right. The Office of Administrative Hearings (OAH) oversees these meetings. If you request it in time, the lender cannot sell the house until the mediation has finished.

Prince George's County Local Context

In Prince George's County, foreclosure cases are handled by the Circuit Court for Prince George's County, located at 14735 Main Street, Upper Marlboro, MD 20772.

There are local programs specifically for residents of the county:

• Department of Housing and Community Development (DHCD): They provide resources and oversight for housing programs in the county.
• Housing Initiative Partnership (HIP): A non-profit based in Hyattsville that provides free, HUD-approved foreclosure prevention counseling. They help you fill out the complicated 'loss mitigation' paperwork for your lender.
• Community Legal Services of Prince George’s County: This group provides free legal advice and representation to low-income residents facing foreclosure. They can help you file the 'Request for Mediation' or a 'Motion to Stay' the sale if the lender did not follow the law.
• Maryland Homeowner Assistance Fund (HAF): While federal funding for this program has largely been committed, you should check with the Maryland Department of Housing and Community Development to see if any local bridge loans or emergency grants have been reopened.

What You Can Do Right Now

1. Call a HUD-Approved Housing Counselor: This is the most important step. In Prince George's County, call HIP at 301-699-1222 or the Maryland HOPE Hotline at 1-877-462-7555. Their services are free and they can help you talk to your lender.
2. Open All Mail: Do not ignore the yellow or white envelopes from your lender or 'substituted trustees.' These contain legal deadlines that you cannot miss if you want to keep your home.
3. Apply for Loss Mitigation: Fill out the application sent with your Notice of Intent. If the lender is reviewing a complete application, they are often required to avoid the foreclosure sale process while they decide.
4. Request Mediation: If you receive an 'Order to Docket,' look for the 'Request for Foreclosure Mediation' form. Fill it out and mail it to the court in Upper Marlboro with the $50 fee within 25 days.
5. Beware of Scams: Many people will call you promising to 'save' your home for a fee. Legitimate help from HUD counselors and legal aid in Prince George's County is free. Never sign your deed over to someone else unless you have a lawyer review it first.