If you have received a foreclosure notice for your home in New York, it can feel incredibly frightening and stressful.
Foreclosure refers to the legal process by which a lender (mortgage company) brings a lawsuit against a homeowner in the Supreme Court where the mortgaged property is located. Typically, the mortgage holder is a bank or finance company. In New York, the foreclosure process follows a judicial procedure. This requires the lender to file a lawsuit to foreclose on the property.
If the lender obtains a judgment from the court, it allows the lender to sell the property in an auction. The foreclosure auction proceeds are to repay the debt.
As an initial matter, it’s important to note that foreclosure does not happen quickly in New York.
Before filing a foreclosure against a borrower, a lender has steps that must be satisfied before they can proceed.
First, the lender must send an acceleration letter to the borrower. The letter informs the borrower that the lender will accelerate the total amount of the mortgage if the arrears are not paid by a specific date. The acceleration letter is typically sent two to three months after a borrower defaults.
Additionally, under New York State law, the lender must send a special 90-Day Pre-Foreclosure Filing Notice notice. The lender must send the borrower a pre-foreclosure notice at least 90 days before starting a foreclosure action in court.
New York State law requires specific language within the notice and a list of nonprofit housing counseling agencies near the borrower to contact if you need assistance.
When a pre-foreclosure notice is issued, New York typically takes between 7 to 9 months for the foreclosure process
In the face of foreclosure, it’s essential to remember that you’re not alone. Legal safeguards and resources are available to you. While the process can be daunting, staying informed and seeking professional guidance is vital.
New York State has specifically designed its foreclosure process with specific steps and requirements, and it may not move swiftly, allowing homeowners time to explore options and seek assistance.
If you’ve received a foreclosure notice, contact a skilled foreclosure defense attorney to explore alternatives and navigate legal complexities. Additionally, don’t hesitate to contact nonprofit housing counseling agencies mentioned in the 90-Day Pre-Foreclosure Filing Notice if you need assistance and support.
Remember, there’s no one-size-fits-all solution to foreclosure, and every situation is unique. By taking proactive steps, seeking professional help, and staying informed, you can make informed decisions and work toward finding a resolution that suits your circumstances.
We understand that navigating the foreclosure process can be overwhelming. To stay up-to-date with the latest information, changes in foreclosure laws, and helpful tips for homeowners
Stay tuned for more blogs on foreclosure, the foreclosure process specific to New York state.
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