If you have fallen behind on your mortgage payments and are at risk of losing your home to foreclosure, you might want to take a moment and read on about what to expect in the coming days. It is important that any property owner who has defaulted on their mortgage payments take action by either reaching out to their lender to discuss the available options on how to avoid foreclosure or make a payment to bring their account back current.
New York’s Foreclosure Timeline
- Between Day 1-15- You missed your mortgage payment. After about 15 days, you can expect that your lender is going to wonder where their payment is.
- Day 16-30- During these days, a late charge will more than likely be assessed and your loan servicer, or lender, will send you a notice or try and contact you in other ways.
- Day 30-60+ You should receive a notice from your lender that will serve as a pre-foreclosure notice. Your loan servicer is required to give you at least 90 days to allow you to make the necessary arrangements to pay your accrued debt you now owe them and they must tell you how much this is. The notice must also give you the names and phone numbers of at least five government approved not-for-profit housing counseling agencies that are located in the region where you live according to New York’s Department of Financial Services.
- Day 45-60- At this point, if you haven’t paid your mortgage bill, your lender is probably going to issue you a “demand” or “breach” letter stating that you have violated your mortgage agreement. You will have 30 days from receiving this notice to pay the delinquent amount and the late charge that was assessed.
- Day 90+ Your lender is now ready to take legal action against you if they don’t receive the money that is due or you failed to negotiate some sort of repayment plan with them. They can do this in a number of different ways including:
- Referring your loan to the lender’s foreclosure department.
- Hire an attorney to begin the foreclosure proceedings.
- “Record a formal notice of foreclosure or “lis pendens” with the court and serving you with notice of the action through a “summons and complaint.”
At this point, you if you haven’t hired a New York foreclosure attorney and still want to keep your home, you might want to consider giving us a call immediately.
The truth is, nobody wants to fall behind on their mortgage payments, but life happens and things arise that place us in a state of financial distress. If there is a legitimate reason behind you being unable to pay for your mortgage, we want to help you find a local foreclosure attorney in New York who can help negotiate with your lender in an attempt for you to keep your home.