Chambersburg, PA Mortgage Foreclosure Defense Lawyer

The threat of mortgage foreclosure is real for many homeowners in Chambersburg, and our attorneys can help borrowers facing sheriff’s sales keep their properties.

When preparing defenses against mortgage foreclosure claims, our lawyers may have to review the original loan documents, as they could indicate if predatory lending occurred. We can assess your situation to see if your lender might agree to mortgage forbearance or loan modification to prevent foreclosure and reach an alternative arrangement. Being proactive against foreclosure is important, as not responding to letters of intent within 30 days could lead to a sheriff’s sale. Our lawyers can help borrowers file for bankruptcy to stop property auctions and foreclosure when appropriate. We can explain the process of judicial mortgage foreclosures in Pennsylvania, preparing borrowers for what to expect during the fight to keep their homes.

Get a free case assessment from our mortgage foreclosure defense lawyers by calling Young, Marr, Mallis & Associates at (215) 701-6519.

Reviewing Your Mortgage Agreement and Missed Payments in Chambersburg, PA

Suppose your lender recently sent you a notice of intent to foreclose, indicating that it will repossess your home if you cannot cure your mortgage. In that case, our lawyers can quickly review the original mortgage agreement and missed payments to date to make a plan, which might include negotiating new mortgage terms.

Some mortgage lenders are open to renegotiating contracts, as this can save time and resources for everyone involved and eliminate the need for foreclosure. Extending the mortgage terms in exchange for smaller monthly payments or lower interest rates can help borrowers get back on track. Before approaching your lender with possible new terms, we can review your savings, income, and expenses to determine new monthly payment amounts you could feasibly follow.

Reviewing the original mortgage contract or communications with your lender might expose predatory lending practices that would essentially void the foreclosure complaint. Banks should not give mortgage loans to hopeful homeowners that they cannot repay. Banks must consider a loan applicant’s credit score, income, expenses, and dependents to see whether or not they could satisfy the loan’s requirements without falling into foreclosure.

For example, suppose a loan applicant’s income is insufficient to support themselves and their families and repay the loan in the short or long term. In that case, the servicer might be predatory, and our mortgage foreclosure defense lawyers can demonstrate this with evidence of your income at the time and other documents you included in your original loan application.

Financial hardships, illnesses, natural disasters, job loss, and major life changes could make forbearance an option, which would pause your mortgage for a short time. You would still be responsible for paying the full amount back, but at a later date, erasing the risk of foreclosure for the time being. Our attorneys can show how you qualify for forbearance by providing documentation of recent financial hardships and extenuating circumstances. There are risks associated with forbearance to avoid foreclosure, such as higher interest rates during the period when mortgage payments are paused, and our lawyers can anticipate these risks when negotiating forbearance with your lender.

The Risk of Losing Your Home to a Sheriff’s Sale in Chambersburg, PA

When a home is sold at auction after foreclosure, the previous homeowner cannot get it back. Pennsylvania does not have a right of redemption period after sheriff’s sales, meaning, even if you could come up with the funds to cure your mortgage after your home is sold, it will be lost. Pennsylvania does let homeowners stop auctions by curing their mortgages up to one hour before, but this is rarely possible for homeowners in these situations.

In Pennsylvania, lenders can seize homes when mortgagees miss 120 days of payments, making foreclosure possible for many. When the risk of a case proceeding to a sheriff’s sale is high, our lawyers can explain the perks of bankruptcy as a tool to avoid foreclosure. Homeowners can file for bankruptcy at any time during their foreclosure cases, as this will stop collection efforts from creditors, including mortgage lenders. Any impending sheriff’s sales will not proceed, and homeowners can work towards paying off their lenders via repayment plans under Chapter 13 bankruptcy.

The bankruptcy chapter you file matters, as Chapter 13 will let you keep assets and repay debts, but Chapter 7 requires asset liquidation, which could cause you to lose your home just as you might through foreclosure. Using liquidation exemptions can help borrowers avoid this, and we can cite federal exemptions if your income suggests you should file Chapter 7.

Lenders could refuse to negotiate alternative mortgage arrangements if they want repayment fast and believe a sheriff’s sale is the best solution. In these situations, bankruptcy might be the only viable way for borrowers to keep their homes, especially if they cannot cure their mortgages outright.

What to Expect During Mortgage Foreclosure in Chambersburg, PA

In Pennsylvania, all foreclosures are judicial, meaning they go through the courts, and judges oversee cases. This benefits borrowers, as banks cannot rush through foreclosure proceedings or miss crucial steps, lest they risk the court dismissing their claims.

Once lenders send foreclosure notices, borrowers have 30 days to respond. After lenders notify homeowners of their intent to foreclosure, borrowers should contact our lawyers to begin reviewing their mortgage agreement and missed payments, as there is little time to prepare defenses against foreclosure because of the relatively quick timeline of these proceedings.

Again, banks often want to speed up foreclosure, as this could allow them to hide predatory lending, unfair mortgage terms, or other unsavory tactics on their part. Our lawyers can carefully oversee each step in the mortgage foreclosure process to ensure your rights are protected and the lender does not unfairly take your home in Chambersburg.

Call Our Chambersburg, PA Lawyers for Help with Your Case

Get a free case review from our mortgage foreclosure defense lawyers when you call Young, Marr, Mallis & Associates at (215) 701-6519.