How to Stop Foreclosure in New York

What to do today

1. Open every notice and organize the paperwork. Keep envelopes, mortgage statements, the 90-day notice, any Summons and Complaint, conference notice, judgment, and Notice of Sale. Write down the county, court index number, service date, and any auction date.
2. Call the mortgage servicer using your statement. Say: “I want to avoid foreclosure. Has a lawsuit been filed or a sale scheduled? Please send a dated reinstatement quote, a full payoff statement, and the loss mitigation application. What documents are missing? What date did you receive any complete application?” Ask which investor or agency owns, guarantees, or insures the loan and which options it currently offers.
3. If you received court papers, protect your response deadline. Contact HOPP or a New York lawyer today. An Answer is generally due 20 days after personal in-hand service, or 30 days after service is complete for specified other methods. Have the service date and method checked. Negotiations and a conference date do not replace serving and filing an Answer. CPLR 320; court Answer guidance.
4. If an auction is scheduled, call the attorney and named referee. Ask whether it is proceeding and exactly what would stop it. Verify any adjournment with the county Supreme Court clerk or foreclosure office. If urgent relief is needed, ask a lawyer about an express court stay; simply filing a request does not establish that a stay was granted.
5. Get free help and compare your finances. Call HOPP at 855-466-3456 or HUD’s counselor locator at 800-569-4287. Gather income, expenses, bank statements, tax returns, and application records. If keeping the home may be unaffordable, get realistic sale values, written payoffs, and an independent title review immediately.

Which option fits my situation?

Start with what you can afford and how much time remains. Each option needs the right approval or a completed transaction.

What does my New York foreclosure notice mean?

90-Day Pre-Foreclosure Notice

For a covered home loan, RPAPL 1304 generally requires a warning at least 90 days before the foreclosure action begins. Covered loans generally involve an individual borrower’s household debt secured by a one-to-four-family home or condominium used as the primary dwelling. The notice explains the claimed default and includes counseling referrals. It is not an eviction notice or proof that an auction is set. Exceptions and reverse-mortgage rules need individual review. The period is tied to mailing, not the day you finally open the letter. RPAPL 1304; court notice guide.

Summons and Complaint, and the homeowner warning

The Summons and Complaint mean the lender has started a lawsuit. A separate Help for Homeowners in Foreclosure notice accompanies the papers in covered residential cases under RPAPL 1303. Read the index number and court name. A Notice of Pendency, also called lis pendens, alerts others that litigation affects the property; it is not itself an auction notice. RPAPL 1303; court case basics.

Conference notice, Order of Reference, judgment, and Notice of Sale

A settlement-conference notice gives your attendance date and instructions. An Order of Reference typically appoints someone to calculate the amount owed. A Judgment of Foreclosure and Sale authorizes sale; a Notice of Sale gives the auction details and referee information. These documents mark different stages, so do not treat an early accounting order as a verified auction date.

Where to verify the case and auction

• Filed papers: search NYSCEF public case records using the county and index number or party names. Read the latest sale notice and orders where available.
• Court status: use WebCivil Supreme and contact the county Supreme Court Civil clerk / foreclosure office. Ask how to obtain papers if the case is not electronically filed.
• Live sale status: contact the named referee or sheriff and the plaintiff’s attorney directly. Online records and newspaper notices may not reflect a recent adjournment. Ask for the new date or the order / written confirmation that prevents the sale.

If you received only a warning, there may not yet be a court case. If records show a case you did not know about, get legal help to review service and the current stage.

The New York foreclosure timeline

There is no reliable statewide countdown from the first missed payment to auction. Cases can take different amounts of time; defenses, conferences, court orders, and servicing rules affect the sequence. Use your documents to locate your stage.

Timing sources: RPAPL 1304, CPLR 3408, RPAPL 1351, RPAPL 231, 12 CFR 1024.41, and New York appellate redemption decision.

Ways to keep your New York home

Catch up through reinstatement

Reinstatement usually means paying overdue amounts and permitted costs to restore the loan. Get a current written quote, its expiration, accepted payment method, and confirmation that the lender will accept it at your stage. The arrears in an old letter or a single monthly payment may be insufficient. Ask a lawyer whether RPAPL 1341, which addresses paying amounts due into court where other amounts remain payable in the future, applies. Full payoff before the actual auction is different from paying only arrears.

Repayment, forbearance, modification, and other workouts

• Repayment plan: pay your regular installment plus an agreed catch-up amount. Check whether that combined amount fits your budget.
• Forbearance: temporarily reduce or pause payments during a hardship. Missed amounts normally remain owed; ask how they will be resolved afterward.
• Loan modification: change terms to make repayment workable. Ask about the full payment including escrow, the term, rate, arrears treatment, and any trial payments or later balloon balance.
• Payment deferral or agency-specific relief: some loans can move eligible missed payments to a later due date or use other tools. Availability depends on the loan investor or agency and your circumstances.

A HOPP or HUD counselor can help identify the loan type and prepare a complete package. Ask the servicer for its current FHA, VA, USDA, Fannie Mae, Freddie Mac, or private-investor options, as applicable; no single workout fits every New York loan. CFPB: forbearance; New York Courts: loss mitigation.

Use the New York settlement conference

Eligible homeowners who live in the property can discuss a workout with the lender under court supervision. Both sides must negotiate in good faith, but the court does not promise a modification. Bring income and benefits proof, expenses, tax information, rental income records, and earlier applications and decisions. If you missed the original Answer deadline and appear at the qualifying conference, CPLR 3408(m) allows 30 days from the initial conference appearance to serve and file an Answer. Do not wait for that second chance. Ask HOPP for representation and follow your court’s directions. CPLR 3408; conference preparation.

Currently available assistance: check your location and eligibility

The New York State Homeowner Assistance Fund is closed and no longer serving its waitlist. Do not plan a rescue around a new HAF application. Free HOPP counseling and legal referrals remain available. Ask your counselor about current local emergency help and loan-specific workouts. HCR’s current assistance status.

In New York City, some homeowners may qualify for HRA’s One-Shot Deal help with mortgage or property-tax arrears. Documented arrears, NYC residence, income / cash-assistance eligibility, and ability to make future payments matter. Call 718-557-1399 or ask the Homeowner Hub at 646-786-0888. Ask HRA about approval, funding timing, and any repayment requirements. An assistance request does not itself postpone an auction. NYC homeowner resources.

Which actions actually pause or stop a foreclosure sale?

The federal timing distinction: on covered loans, a complete application received more than 37 days before sale can trigger review and sale restrictions. A qualifying complete application received at least 90 days before sale can provide appeal rights after modification denial. A timely appeal generally has a minimum 14-day window. Coverage and repeat-application rules matter. The relevant date is the servicer’s complete-application receipt date, not just today’s countdown. Ask for it in writing.

These alone do not confirm a pause: a phone call, a partial application, a complaint to DFS, a listing agreement, an appraisal, a cash offer, a signed purchase contract, or a pending request for court relief. A complete package received 37 days or less before sale may lack that particular federal sale bar; other protections or an agreed postponement may still apply. If the lender or referee says the sale will proceed despite a claimed protection, seek urgent legal review.

Sources: CFPB mortgage servicing rule; New York court conference information; foreclosure judgments and sale relief; U.S. Courts: Chapter 13.

Free New York foreclosure help and the right offices

• Homeowner Protection Program (HOPP): call 855-466-3456 for free local housing counseling and legal-service referrals. Ask about application help, defending a lawsuit, and settlement-conference representation. Official Attorney General program information.
• HUD-approved counselors: call 800-569-4287 or use HUD’s locator. Foreclosure counseling is free. You can also use the New York county counselor directory.
• Legal aid: request a HOPP referral or use the courts’ foreclosure help directory and LawHelpNY. Representation depends on screening and provider capacity; state immediately if an auction or response deadline is near.
• Supreme Court clerk / foreclosure office: find the property county at the court locator. Have your index number ready. Ask for the latest judgment, sale notice, conference date, and any stay or adjournment order. The clerk can explain records and procedure but cannot give you legal advice.
• Referee or sheriff and plaintiff’s attorney: use the names in the sale notice and judgment. These are the sale-specific contacts; New York has no single statewide mortgage trustee-sale hotline.
• New York Department of Financial Services: call 800-342-3736 for homeowner resources and servicing concerns, or use DFS homeowner information. A complaint is not a court stay.
• New York State Homes and Community Renewal: use HCR’s homeowner assistance page for current resources and program status. HAF is closed.
• NYC Homeowner Hub: call 646-786-0888 or 311 for free counseling and legal connections across the five boroughs. NYC HPD resources.

Give a helper the county, index number, earliest deadline, and whether you live in the home. If the debt involves property taxes, a co-op loan, or condominium charges, identify that immediately so you are directed to the correct process.

How to avoid foreclosure in New York by selling the home

If no affordable keep-home plan is available, selling before the actual auction may pay the mortgage and preserve some equity. First establish who can sign, the lien balances, the realistic price, and a closing schedule your lawyer can support. If closing cannot occur in time, a separately confirmed postponement or effective court relief is necessary.

List with an agent

A marketed sale may reach more buyers and produce a higher price. Balance that against commissions, preparation costs, inspections, financing contingencies, and closing time. Tell the agent and your attorney about the foreclosure immediately. A listing does not change the court case or auction deadline.

Sell directly to a cash buyer such as MyHouseIntoCash.com

Selling to a cash buyer like MyHouseIntoCash.com is possible while you still own the property before the auction. An as-is transaction may reduce repairs and financing-related delays. Compare the offer’s net proceeds with an agent’s expected net; a faster or simpler sale may involve a lower price.

Ask for the buyer’s legal name, proof of funds, contingencies, earnest money, any assignment rights, closing-cost allocation, and a specific closing date. Use your own New York attorney and an independent title / closing professional to verify ownership, payoffs, liens, and funds. Full-payoff sales normally do not need a lender to accept less than owed. A cash buyer cannot erase liens, guarantee a court postponement, or skip short-sale approval when the proceeds fall short.

New York’s investor-sale protections affect timing

Covered transactions under the Home Equity Theft Prevention Act, Real Property Law 265-a, require specific contract disclosures and cancellation protections. For a compliant covered contract, cancellation runs until midnight of the fourteenth business day after both parties sign. Under this law, business days exclude Sundays and statutory public holidays; Saturdays can count. Have your independent lawyer determine coverage, required notices, and when a deed may be signed or a closing completed. Do not assume a next-day investor closing is legally available or that an urgent auction lets the buyer bypass these protections. RPL 265-a.

Short sale

If proceeds cannot pay the required balances and you cannot bring the gap to closing, request approval for a short sale. The servicer / investor and affected junior lienholders must accept reduced payoffs. Approval can take time and does not automatically postpone the auction. Obtain the authorized price, closing deadline, fee allocations, and explicit release of remaining debt in writing; a lien release alone may leave personal liability. CFPB: short sales.

Deed in lieu of foreclosure

You voluntarily transfer the home to the lender if it accepts. This can avoid completing the auction process, but the lender may require marketing attempts and clear title; other liens can prevent approval. Ask about debt release, move-out timing, possible relocation assistance, and credit consequences. Do not sign over the deed to a third-party “rescuer” as a substitute. CFPB: deed in lieu.

The money question: will I have equity or still owe money?

Estimated sale proceeds = sale price − all mortgage payoffs − other liens / required charges − selling and closing costs. The mortgage balance on a monthly statement is not a dated payoff. Ask about interest through closing, legal expenses, advances, and other permitted charges. A reinstatement quote answers a different question: what is needed to bring the loan current?

Have a title professional check second mortgages, judgments, taxes, municipal water / sewer charges, condominium liens, and any recorded assistance loans. Ask your attorney to estimate transfer taxes and other New York or NYC closing charges that apply. Avoid counting the same charge twice if already included in a payoff or settlement estimate.

Illustration: a $400,000 sale, minus $300,000 in mortgage payoffs, $15,000 in other liens / charges, and $25,000 in selling and closing costs, leaves about $60,000. This is not a valuation or quote for your property. If the result is negative, you need funds for the gap or approved reduced payoffs.

If the foreclosure auction leaves a shortfall

New York permits a deficiency judgment in qualifying cases. Under RPAPL 1371, the lender generally must make the prescribed motion within 90 days after the sale is consummated by delivery of the deed. The calculation credits the higher of the court-determined fair market value or auction price against the statutory debt and costs. If the lender does not make the required timely motion, the foreclosing mortgage debt is treated as satisfied. Have a lawyer review any deficiency demand; these rules do not automatically release every other debt or govern a voluntary short sale. RPAPL 1371.

If the auction produces surplus money

Money remaining after entitled debts and expenses can be distributed to valid claimants, potentially including the former owner. Ask the county Supreme Court clerk for the report of sale, any surplus deposit, and claim procedure. RPAPL 1361 permits a written claim before confirmation of the report; priority and further proceedings matter. Get help promptly and do not assume payment is automatic. Be cautious of someone demanding a large fee to recover money you may be able to claim with legal aid. RPAPL 1361.

Forgiven debt and a property sale can have tax consequences. Ask a qualified tax adviser about your own situation and the written terms of any debt forgiveness.

Common mistakes and New York foreclosure scams

• Ignoring papers or missing court dates. A servicer negotiation does not replace an Answer, motion response, or conference appearance.
• Relying on a promised rescue. Be cautious of guaranteed modifications, advance rescue fees, or instructions to send mortgage payments to someone other than your verified servicer.
• Signing away the deed to “save” the home. Leaseback or buyback promises can expose you to deed theft and loss of equity. Obtain independent legal advice before any transfer.
• Assuming a pending offer stops the sale. Keep checking with the referee and lender’s attorney until an effective resolution or adjournment is confirmed.
• Counting on an expired grant. NYS HAF is closed; verify any other program’s availability before treating it as a source of closing funds.
• Abandoning the home because of an early notice. A warning or lawsuit is not itself an order to leave. Keep caring for the property and address taxes, insurance, and safety obligations while your lawyer reviews possession rights.

Report suspected deed theft or foreclosure fraud to the New York Attorney General at 800-771-7755. Contact HOPP at 855-466-3456 for legal help as well; reporting a scam alone does not stay a pending sale.

New York foreclosure questions

Can I stop foreclosure after receiving a 90-day notice? You may have time to resolve the default before a lawsuit. Ask for the servicer’s workout options now and get free HOPP help. The warning does not guarantee that no earlier notice, other case, or separate lien deadline exists.

Does attending a settlement conference replace my Answer? No. You still need to address the lawsuit. If you missed the usual deadline, ask promptly about the statutory opportunity to answer after the first qualifying conference appearance and any other available relief.

Can I sell my New York house while foreclosure is pending? Often, before the actual auction, if the closing can resolve title and payoffs or obtain required short-sale approvals. A pending lawsuit does not automatically prevent a voluntary sale. Your attorney must address the case, liens, and any applicable investor-sale cancellation protections.

Can MyHouseIntoCash.com stop the auction for me? A completed sale can supply funds to pay the mortgage, but an offer or purchase contract cannot itself stop the auction. Confirm any needed adjournment with the lender’s attorney and referee, or obtain effective legal relief.

Is there a normal period to buy back the home after the auction? Do not assume one. The ordinary redemption right generally ends at the actual auction. If you think a sale was improper, ask a New York lawyer immediately about case-specific relief and other remaining rights.

Where do I check the auction date? Read the latest Notice of Sale and verify it with the named referee / sheriff and plaintiff’s attorney. Use NYSCEF, WebCivil Supreme, and the county Supreme Court clerk for supporting records and orders.