Fort Lee, NJ Mortgage Foreclosure Lawyer

Owning a home is hard work. If you have fallen on hard financial times, you might be worried about making your mortgage payments on time. Some cannot keep up, and the lender who provided the home loan may initiate foreclosure. This can be an absolute nightmare for homeowners, and our lawyers are ready to help you fight to keep your home.

A mortgage foreclosure generally begins with a notice from the lender informing the borrower about late payments and warning about a possible foreclosure. Since New Jersey is a judicial foreclosure state, the lender must file a complaint in court to initiate the foreclosure process. This process takes time, and you and your attorney can take action to try and stop the foreclosure before it is too late. If you cannot cure the default, you might be able to negotiate a deal with the lender to hopefully avoid losing your home. In some cases, homeowners file for bankruptcy to get their debts under control and hopefully avoid foreclosure.

Get a private, free case review by calling Young, Marr, Mallis & Associates at (609) 755-3115 and talking to our mortgage foreclosure lawyers.

What Happens During Mortgage Foreclosure in Fort Lee, NJ?

A mortgage foreclosure can be a very hard thing to deal with, but it does not happen overnight. This kind of thing takes time, and it might be several months or more after you receive an initial notice of foreclosure before you actually lose your home. Our mortgage foreclosure lawyers will review your case during this time to determine if there is anything that can be done to slow or stop the foreclosure.

First, you should receive an initial notice about the foreclosure. The notice is often just a warning. It does not mean you are currently in foreclosure. According to 12 C.F.R. § 1024.41(f), a lender may not initiate foreclosure until the borrower is more than 120 days delinquent with mortgage payments. If you miss a payment or two, the bank cannot legally initiate foreclosure. However, they are supposed to send you notices about the late payments and the possibility of foreclosure.

When the bank decides to foreclose, they must do it through the courts. New Jersey is a judicial foreclosure state, and banks and lenders have to file a complaint in court – sort of like a lawsuit – against the borrower. Depending on the court’s schedule, we might wait a while before your case is on the docket. Talk to your attorney about what to do next. You might be able to challenge the foreclosure in court or find other ways of avoiding foreclosure.

Challenging a Mortgage Foreclosure in Fort Lee, NJ

Depending on your situation, there might be several ways in which our legal team can help you fight a mortgage foreclosure. It is important to speak to our legal team as soon as possible so we can determine the best way forward.

Curing the Default

Although this might be a difficult feat to accomplish, you can avoid foreclosure by curing the default. According to N.J.S.A. § 2A:50-57(a), a borrower facing foreclosure has the right to cure the default up until just before the entry of final judgment. According to subsection (b) of the above law, curing the default requires the borrower to pay all the money they owe on their mortgage. You might also have to pay various legal fees, late penalties, and other costs related to the mortgage. Curing the default can be very difficult, especially if you have missed many mortgage payments and owe a lot of money. However, if you can get the money you need, you have a right to cure the default before the final judgment goes through.

Negotiating with Creditors

Another option is to negotiate with lenders to whom you owe money. Believe it or not, many lenders and banks do not want to foreclose. Foreclosure is sort of like the bank’s option of last resort. If they can get the money they are owed without foreclosing, they will find a way to do so.

Our legal team can help you contact the lender on your mortgage and try to work out an agreement that avoids foreclosure. Perhaps we can offer a lump sum that covers most of your missed mortgage payments, and, in exchange, the bank might pump the brakes on foreclosure. Another possibility is that you might ask the bank to alter the terms of your mortgage, making it easier to keep up with monthly payments so you do not fall further behind. Whether the lender in your case is open to negotiations depends on your case.

Bankruptcy

Bankruptcy might not sound like a solution to your mortgage troubles, but there is more to bankruptcy than you might realize. When a person files for bankruptcy and the bankruptcy court accepts their petition, the judge should impose an automatic stay under 11 U.S.C. § 362(a). An automatic stay means that creditors or lenders to whom you owe money may not take legal action to reclaim their debts. If any action is currently pending, such as a mortgage foreclosure, it must be immediately halted.

In many cases, people who file for bankruptcy may have certain debts discharged. When debts are discharged, the borrower is no longer liable for payment. If you can get a few significant debts discharged, you might be in a better position to pay your mortgage. Remember, not all your debts are eligible for discharge. Your mortgage and other secured loans likely will not be discharged. However, credit card debts, medical debts, and various other debts may be discharged. Talk to your attorney about how to file for bankruptcy in a way that can help you hang on to your home.

Get in Touch with Our Fort Lee, NJ Mortgage Foreclosure Attorneys for Help

Get a private, free case review by calling Young, Marr, Mallis & Associates at (609) 755-3115 and talking to our mortgage foreclosure lawyers.