Can a Lawyer Help Stop Foreclosure in New York State?
New York State has enacted a new moratorium on COVID-related residential and commercial evictions. Yet, the prospect of facing foreclosure and eviction sometime in 2022 or sooner remains real for many who have fallen behind on their mortgages. Many New York homeowners who are worried about losing their homes can ease their burdens by seeking help from an experienced foreclosure defense lawyer.
White Plains foreclosure defense attorney Michael H. Schwartz can work with you to make changes that keep you in your home and stop foreclosure. He has never lost a client’s house or other real estate to foreclosure. That’s a record that can make it easier to sleep at night—under your own roof.
Consider the options below, and if you are having trouble paying your mortgage, call or reach out online today to Michael H. Schwartz, P.C., for a initial consultation.
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How Can I Stop Foreclosure in New York?
Currently, New York State has a moratorium on COVID-related residential and commercial evictions, which is in effect until January 15, 2022. The new law counters the Supreme Court’s decisions to strike down the New York and Biden Administration moratoriums on evictions.
Under the law, all protections of the Tenant Safe Harbor Act for residential tenants who are suffering financial hardship as a result of the pandemic remain in place. There are additional protections against commercial evictions.
However, not everyone’s financial problems can be blamed on the pandemic.
There are several options for stopping a threat of foreclosure from going forward. An experienced foreclosure defense lawyer Michael H. Schwartz can review your finances and options with you as part of developing a strong foreclosure defense:
- Bring your loan current. If you can inform your lender that you will pay off the amount past-due plus late fees and then do so, this will stop the foreclosure process. The inability to do this is the issue, of course, in most foreclosure cases.
- Seek forbearance. This requires asking your lender to reduce or suspend payments for a specified period of time, such as six months. After the suspension, regular payments plus the missed payments and any outstanding late fees become due. This is a potential arrangement if you are not far behind already or you have reason to persuade your lender of your ability to make payments after the forbearance period.
- Modify your loan. Your lender may agree to reduce your monthly payment to an amount you can afford in exchange for a longer payment term or a higher interest rate. If your lender will not work with you, there are several federal programs offering borrowers loan modifications and payment reductions to help people stay in their homes.
- Refinance with a new lender. You may be able to persuade another lender to refinance your mortgage. You may have options for federal assistance through the Federal Housing Finance Agency (FHFA) or other agencies.
- Sell your home. This doesn’t “keep you in your home,” but selling your home could help you come up with enough money to pay off your mortgage and find new accommodations you can better afford. If you cannot obtain a sale price that covers what you owe, this is known as a “short sale.” Your lender must agree in advance to a short sale or accept less than your full debt to satisfy your loan, or there could be significant legal ramifications.
- Turn over the deed to your home. By agreeing to turn over the deed in lieu of foreclosure as full satisfaction of your debt, you walk away without a foreclosure on your credit report and without the potential for a deficiency judgment.
- Declare bankruptcy. Bankruptcy puts an immediate halt to the foreclosure process and gives you time without the pressure of foreclosure to explore the options above. Bankruptcy also allows you to address other debt issues, such as credit cards, car loans, utility bills, and medical care.
What is a New York Foreclosure Defense Lawyer?
In a foreclosure, a mortgage lender files a lawsuit seeking the right to take possession of and sell the home of a delinquent homeowner at auction. As in any legal action, you have a right to be heard and to explain why the lender’s request to seize your home should be denied. Answering a lawsuit successfully requires complying with the court’s procedural rules, filing processes, and deadlines, as well as having a legitimate answer to the complaint.
Because foreclosure petitions and hearings are based on a series of complex laws and legal principles, it is crucial for you to have experienced legal representation if you are to stop a foreclosure action.
A foreclosure defense attorney, such as Michael H. Schwartz of White Plains, N.Y., can help you explore all options available to you, including those that may resolve the lawsuit to avoid the sale of your home. Prior to a court date, he will analyze your financial circumstances and the facts of your case to recommend the best strategy to stop the foreclosure action.
What Can a New York Foreclosure Defense Lawyer Do For Me?
If you are facing a foreclosure threat, you are in a financial situation beyond the point where the lender or loan servicer will work things out with you. The person calling you about your debt is not the actual lender. Instead, it is a mortgage servicing company representative who is more interested in racking up late fees than resolving your financial problems.
If you find yourself facing foreclosure, turn to New York foreclosure defense attorney Michael H. Schwartz for help saving your home. We can review several approaches to avoiding foreclosure. There are also numerous programs to assist mortgagers who are in arrears, such as the Loss Mitigation Program available in the Southern District of New York (Westchester, Rockland, Putnam, Dutchess, Orange, Sullivan, Manhattan, and The Bronx).
A foreclosure attempt doesn’t have to end with you losing your home or watching your credit score plummet. Foreclosure defense attorney Michael H. Schwartz knows how to fight and stop foreclosures and position you for a fresh start. Our firm has never lost a client’s home to foreclosure.
Contact us today to learn more about stopping foreclosures in New York in a review of your case.
Michael H. Schwartz is the largest filer of bankruptcy cases for people living in Westchester and Rockland counties in New York. A graduate of New York Law School, Michael has been licensed to practice in New York State courts since 1983. He is also licensed to practice in the U.S. Bankruptcy and District Courts for the Southern, Eastern and Northern Districts of New York and the District of New Jersey as well as the Second Circuit U.S. Court of Appeals. He is a graduate of Max Gardner’s Bankruptcy and Veterans’ Boot Camps. Several media outlets have reported on his cases or sought his insights, including The New York Times.
