The primary reason for a bank to initiate foreclosure is if a homeowner is in arrears with their mortgage payments as outlined in the mortgage contract. The lender, often a bank or mortgage company, will typically send a notice of default, also known as a breach letter, informing the homeowner that their loan is in default. The letter gives the borrower an opportunity to “cure” the default (bring the loan current) and prevent the lender from accelerating the loan and initiating foreclosure.
If you are in arrears on your mortgage, a Toms River foreclosure defense lawyer will thoroughly examine the details of your case, including your mortgage documents, loan history, and any communications between you and your lender. Once our attorneys have assessed your case, we can aggressively protect your rights and examine all remedies available to you.
If you are a homeowner facing foreclosure in Toms River, you may have several defense options that an attorney can pursue on your behalf. You can ask to see the original promissory note and mortgage assignment to ensure the lender has the legal right to foreclose. If the lender cannot prove they have the legal right to foreclose, you may have grounds to contest the foreclosure.
Another option may be for you to negotiate with your lender to modify the loan terms, such as lowering interest rates, extending the loan term, or deferring payments. Our attorneys can sometimes help a homeowner seek forbearance, which is a temporary pause in mortgage payments that would allow the homeowner time to catch up on arrears.
If you are facing foreclosure, you can reinstate your mortgage. Reinstatement means bringing your mortgage loan current by paying all arrears, including principal, interest, late fees, and any foreclosure-related costs. You have the right to reinstate your mortgage at any time before the final judgment of foreclosure is entered.
Filing for a Chapter 13 bankruptcy can stop a foreclosure, allowing you to pay off your mortgage arrears over a period of three to five years while making ongoing payments. Bankruptcy triggers an automatic stay, which prevents any civil litigation, including foreclosure proceedings, from continuing. In New Jersey, bankruptcy courts have mortgage modification programs that can help prevent foreclosure, and our lawyers can help you get admitted to this mortgage modification program.
Under state law, residential mortgage lenders must send a Notice of Intention to Foreclose to the debtor at least 30 days, but no more than 180 days, before commencing any foreclosure or other legal action. If you are facing home foreclosure in Toms River, an attorney can help you understand your rights, explore all available options, and potentially defend against the foreclosure in court, potentially delaying or stopping the process.
Foreclosure is a complex legal process, and our attorneys can guide you through each step, ensuring you understand your rights and obligations. They can evaluate your financial situation and determine the best course of action to save your home, and explain potential legal defenses and other options that can mitigate foreclosure. We then file an answer to the foreclosure complaint, which is the first step in defending against the foreclosure.
Our attorneys can conduct discovery, gathering information from the lender about the foreclosure process and the loan itself, and represent you in court during the foreclosure proceedings, ensuring your rights are protected. We also negotiate with the lender to reach a settlement agreement that allows you to keep your home or avoid foreclosure. For example, you may be able to apply for loan modifications, which can change the terms of your mortgage to make the payments more manageable.
If selling the property for less than the outstanding balance is an option, our foreclosure defense attorneys can help negotiate a short sale agreement with the lender or a deed in lieu of foreclosure, which is where you transfer ownership to the lender instead of going through a formal foreclosure process. If you are facing significant financial hardship, we could advise you on the potential benefits of filing for bankruptcy, which can halt the foreclosure proceedings.
We may be able to negotiate with the lender on your behalf, potentially seeking a loan modification, forbearance, or other options that can allow you to avoid foreclosure. At Gillman Capone, our experienced attorneys can advise you regarding your rights and options, helping you to make informed decisions about how to proceed with your case.
A Toms River foreclosure defense lawyer can protect your rights and interests, so contact our office today to request your confidential case review.
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