Foreclosure Timeline In New York

PatZZ

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Jan 30, 2011
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PatZZ

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Jan 30, 2011
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sistergldnhair

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Mar 8, 2013
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I received one of those letters Thursday from a lawyer who can "Help me save my home", stating that the sale date of my home has been scheduled for June 12. I panic. Friday I receive another one, when I see the envelope, I think "something is happening". Open it, yep, this particular person, not a lawyer sent with his letter, the clipping from the paper.

So the sale has been scheduled for June 12. I'm in panic mode. I knew it would happen, but boy this was quick from the last letter I got from the bank's attorney that the foreclosure judgement was signed. I know in NJ, you can postpone the Sheriff's sale twice. I'm wondering if this is an option in NY? I just started working again 40+ hours a week, and have SO MUCH STUFF to start packing up. :(
 

PatZZ

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Jan 30, 2011
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I received one of those letters Thursday from a lawyer who can "Help me save my home", stating that the sale date of my home has been scheduled for June 12. I panic. Friday I receive another one, when I see the envelope, I think "something is happening". Open it, yep, this particular person, not a lawyer sent with his letter, the clipping from the paper.

So the sale has been scheduled for June 12. I'm in panic mode. I knew it would happen, but boy this was quick from the last letter I got from the bank's attorney that the foreclosure judgement was signed. I know in NJ, you can postpone the Sheriff's sale twice. I'm wondering if this is an option in NY? I just started working again 40+ hours a week, and have SO MUCH STUFF to start packing up. :(
You need to just research NY statutes to find out. You have no time to wait for an answer here. The answer you get may even be wrong. Read the NY rules, contact the Sheriff's office to find out, or get a free consult with a foreclosure defense attorney.

As a final tactic, filing BK will stop all action. And sometimes, applying for a loan mod can give you a breather.
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sistergldnhair

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Mar 8, 2013
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You need to just research NY statutes to find out. You have no time to wait for an answer here. The answer you get may even be wrong. Read the NY rules, contact the Sheriff's office to find out, or get a free consult with a foreclosure defense attorney.

As a final tactic, filing BK will stop all action. And sometimes, applying for a loan mod can give you a breather.
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I have actually been playing the loan mod game with CIT Bank for a few months. Ill make a few calls tomorrow. And will look up the statutes as well, thank you.
 

I'll Spin the Wheel Pat!

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Mar 25, 2015
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It's been over 5 years since I paid. I'm waiting for them to file the motion to foreclose. I kind of wish they'd get to it so I can get out of here.
 

bgriff

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Mar 11, 2012
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It's been over 5 years since I paid. I'm waiting for them to file the motion to foreclose. I kind of wish they'd get to it so I can get out of here.
You may want to consult a lawyer and explore a possible statute of limitations defense. It is six year in NY from the date of acceleration. I'm not sure where you are in process but it is worth exploring.
 

PatZZ

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I guess. But then what?
If they accelerate and then fail to file the complaint within 6 years, then when they do file, you file a motion to dismiss for failure to state a claim due to the SOL. Keep track. Nothing could be more important. We all would love to be in that predicament.
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bgriff

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Mar 11, 2012
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If they accelerate and then fail to file the complaint within 6 years, then when they do file, you file a motion to dismiss for failure to state a claim due to the SOL. Keep track. Nothing could be more important. We all would love to be in that predicament.
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Correct. If they fail to file and it is determined to be time bared you can file a motion pursuant to RPAPL Section 1501(4) to have the lien removed. Then you can sell the house and keep any proceeds.
 

I'll Spin the Wheel Pat!

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Mar 25, 2015
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Correct. If they fail to file and it is determined to be time bared you can file a motion pursuant to RPAPL Section 1501(4) to have the lien removed. Then you can sell the house and keep any proceeds.
I don't think that applies to me. They filed the complaint three years ago and I've basically already lost. I am just waiting for them to file a motion for foreclosure. That is the last motion that gets filed before they auction it off (if nothing new comes up.) I don't want to change my residence or leave the place vacant while I wait. I thought about sending their attorney the keys to give them a hint but they could fall into the wrong hands. I received a packet from them outlining everything I owe up to this point so I am surprised that they have not moved on. My guess is they are just busy.
 

Youngone

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Oct 6, 2015
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Is it possible to play the wheel after a judgement has been entered? There is a court date scheduled for 8/11 in which the home will be sold to HUD. The home owner decided to send in a loan modification packet about a month ago. Can they still proceed while the modification was requested?
 

PatZZ

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I don't think that applies to me. They filed the complaint three years ago and I've basically already lost. I am just waiting for them to file a motion for foreclosure. That is the last motion that gets filed before they auction it off (if nothing new comes up.) I don't want to change my residence or leave the place vacant while I wait. I thought about sending their attorney the keys to give them a hint but they could fall into the wrong hands. I received a packet from them outlining everything I owe up to this point so I am surprised that they have not moved on. My guess is they are just busy.
Okay. I guess I'm confused by your posts or your terminology. Earlier you posted, "It's been over 5 years since I paid. I'm waiting for them to file the motion to foreclose." The filing of the complaint IS the same as filing to foreclose. So you have been in foreclosure all this time since the foreclosure complaint was originally filed You may be confusing foreclosure with "sale."
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PatZZ

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Is it possible to play the wheel after a judgement has been entered? There is a court date scheduled for 8/11 in which the home will be sold to HUD. The home owner decided to send in a loan modification packet about a month ago. Can they still proceed while the modification was requested?
Read the law at 12 CFR 1024.41.
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sistergldnhair

LoanSafe Member
Mar 8, 2013
12
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1
I received one of those letters Thursday from a lawyer who can "Help me save my home", stating that the sale date of my home has been scheduled for June 12. I panic. Friday I receive another one, when I see the envelope, I think "something is happening". Open it, yep, this particular person, not a lawyer sent with his letter, the clipping from the paper.

So the sale has been scheduled for June 12. I'm in panic mode. I knew it would happen, but boy this was quick from the last letter I got from the bank's attorney that the foreclosure judgement was signed. I know in NJ, you can postpone the Sheriff's sale twice. I'm wondering if this is an option in NY? I just started working again 40+ hours a week, and have SO MUCH STUFF to start packing up. :(
Ok, just an update to the above. I ended up consulting a lawyer and filed bankruptcy two weeks before the sale date of June 12. Had my bankruptcy court appearance June 29. Heard nothing since then, until this past week, I got a copy of a motion sent to the Bankrupcty court, from the banks attorney, requesting that the court modify the stay on the foreclosure, so the bank may proceed. They requested a hearing on August 22, or somewhere within that time frame.

When I went to consult the attorney for the Ch7, he was very surprised that the auction was going to held in the Federal Court in Westchester. He said he'd never heard auctions in federal court only county. Then I found this article..

http://www.safeguardproperties.com/News/Industry_Updates/2017/03/Foreclosure_Process_in_NY_Expedited_by_Federal_Ruling.aspx
 

PatZZ

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Jan 30, 2011
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Ok, just an update to the above. I ended up consulting a lawyer and filed bankruptcy two weeks before the sale date of June 12. Had my bankruptcy court appearance June 29. Heard nothing since then, until this past week, I got a copy of a motion sent to the Bankrupcty court, from the banks attorney, requesting that the court modify the stay on the foreclosure, so the bank may proceed. They requested a hearing on August 22, or somewhere within that time frame.

When I went to consult the attorney for the Ch7, he was very surprised that the auction was going to held in the Federal Court in Westchester. He said he'd never heard auctions in federal court only county. Then I found this article..

http://www.safeguardproperties.com/News/Industry_Updates/2017/03/Foreclosure_Process_in_NY_Expedited_by_Federal_Ruling.aspx
I read that article a few months ago and I don't even live in NY. BK attorneys are often more SOBs than the foreclosure mills and often quite incompetent. They might (if you're lucky) know BK law, but other than that, they often are not very impressive. They are "take your money and run" kind of attorneys - often because they are usually so very busy. They have little time to stay updated on change.

Hoping for the best for you.
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I'll Spin the Wheel Pat!

LoanSafe Member
Mar 25, 2015
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Okay. I guess I'm confused by your posts or your terminology. Earlier you posted, "It's been over 5 years since I paid. I'm waiting for them to file the motion to foreclose." The filing of the complaint IS the same as filing to foreclose. So you have been in foreclosure all this time since the foreclosure complaint was originally filed You may be confusing foreclosure with "sale."
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No, it is not the same technically speaking. The filing of the complaint gets the ball rolling. The motion to foreclose is the specific action which gets filed in the court by the banks attorney. It is entered after they have already won their case and tallied up everything that is owed to the bank including their legal costs. Once the motion to foreclose is signed by a judge, the case is disposed. Next, they auction off your house and decide if there is a surplus or a deficiency.

My case is disposed. No auction date yet.
 

PatZZ

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Jan 30, 2011
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No, it is not the same technically speaking. The filing of the complaint gets the ball rolling. The motion to foreclose is the specific action which gets filed in the court by the banks attorney. It is entered after they have already won their case and tallied up everything that is owed to the bank including their legal costs. Once the motion to foreclose is signed by a judge, the case is disposed. Next, they auction off your house and decide if there is a surplus or a deficiency.

My case is disposed. No auction date yet.
More confusing than need be. Not speaking of specific actions. Just the nature of the complaint. It's foreclosure. Whenever a complaint is filed in any court, there must be a "cause of action." The cause of action when your complaint was filed was foreclosure. Merely because a final judgment, or amount due, or writ of execution hasn't been signed by the court doesn't mean the complaint wasn't a foreclosure complaint. The statute states: "Foreclosure begins when the lawsuit is filed."

Keeping in mind what my initial discussion was about, i.e., acceleration, the date a loan was accelerated is often determined by the date the complaint was filed. That's especially so given case precedent in NY. My comment was never about the process of the bank actually seizing the home.

I guess my confusion began when you stated: "It's been over 5 years since I paid. I'm waiting for them to file the motion to foreclose." I mistakenly interpreted that to mean "I'm waiting for them to file a foreclosure complaint." Never heard of a "Motion to Foreclose" filed after the complaint and couldn't find it in NY foreclosure procedure.

Hope things work out for you soon.
 

I'll Spin the Wheel Pat!

LoanSafe Member
Mar 25, 2015
40
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Never heard of a "Motion to Foreclose" filed after the complaint and couldn't find it in NY foreclosure procedure. .
I did not bring the term from a foreclosure procedure booklet, I followed my case along with many others in the court and this is the order of things (simply put):

-You stop paying
-They send you the legal required warning that they will file to foreclose if you don't pay
-They file the complaint
-If you answer, they set up a settlement conference, If you don't answer, you automatically loose.
-During settlement conference(s), you have an opportunity to work something out with the bank. You can drag this out a long time if you have a good argument or good attorney.
-Once the conferences are over, if you have lost or if you never appeared, the bank motions for an independent referee to tally up everything you owe. The judge says ok if the motion is not opposed. (This took almost a year for me)
-Once the costs are tallied, the bank motions for foreclosure which results in them allowed to auction off your house. The judge says ok if the motion is not opposed. (Another six months went by)

During all of the above, you are not foreclosed until that last motion and even then you can try and save your house before the auction. You have many opportunities to fight and even change the outcome. When I said I haven't paid in 5 years and I am waiting for them to file the final motion to foreclose, I mean I have gone through the whole entire process and I am just waiting for it to be finished finally. I think it is important to note the time and process of everything so you can set expectations, it was a long wait for me. Also the first post on this thread which is 2 1/2 years old, tells you where I was in the process at that time. I had already answered the complain when I wrote it.
 

perplexing

LoanSafe Member
Oct 19, 2017
23
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3
The timeline for us was so long that they can no longer foreclose.

May 2010, first payment missed. They say no mods until we're a few months late. That's what we do. The loan was accelerated in June, after the 2nd payment was missed. We qualify and apply for a mod in September.

April/May 2011, Partial-Claim (making us current) goes through. Mod is still not done and the claim makes us ineligible. A possible new acceleration date of June 2011 begins, from which to count the statute of limitations. (We have to be a few months late, all over again, in order to qualify for a loan mod.)

Through to January 2013, we apply for loan mods multiple times - never rejected, only "Incomplete," despite having proof they were complete by bank employees via fax, in person/fax/scanned>emailed from the branch manager, mail, CM-RR, loan mod events, etc.

January 2013 - lis pendens filed. We file for bankruptcy; it is the only loan past due.

June 2013 - BK is complete and discharged.

September 2013 - we receive notification that lender has been paid out for the loan by the FHA and loan is sold to a trust. We also receive notification of a new loan servicer.

Nothing happens for 2 years.

July 2015 - Settlement Conference to begin foreclosure proceedings. They're very unprepared and send a new lawyer every time because I'm "mouthy," as one of them says, and argue back at hearings. (And they don't actually know anything about the case, which makes things difficult for them.) Nothing really moves forward... we just show up and argue for 10 minutes, every few months.

September 2015 - We receive notice of a new servicer from the new servicer, saying they'd like to work with us to avoid foreclosure. (Dual tracking happening, which is illegal, here.)

February 2016 - Judge orders them to accept our loan mod. application and paperwork as complete and propose to us a modification at last. They "generously" offer us a payment of $200 MORE than the original payment.

May 2016 - We formally refuse their mod offer and they're given an Order of Reference... what they need to foreclose. Judge orders them to begin foreclosure proceedings by January 2017 or he will sanction them by removing all of the interest from the loan.

(June 2016 - statute of limitations is up from the first acceleration but there's an active case so they're fine to continue.)

July 2016 - Lender's attorneys petition for voluntary dismissal of foreclosure and cancel the lis pendens. (We were very confused; wording was "being settled and voluntarily discontinued by the lender." Okay??)

November 2016 - Judge grants their motions and dismisses the referee as well. The foreclosure suit is dismissed and stricken from the record, and the lis pendens removed.

May 2017 - We receive notice that the loan has been sold to another bank.

June 2017 - The statute of limitations has expired on filing a foreclosure action (would be the second) based on even the second acceleration date of June 2011.

July 2017 - We receive notice that the previous owner of the loan is moving to vacate the dismissal of the first foreclosure action. (Cannot be done, as it was voluntary. IF it was involuntary, they would have had 6 months to resurrect it, which had already passed in May 2017 anyway.)

August 2017 - Judge denies their motion on multiple grounds.

September 2017 - The 30 days they have to appeal the denial passes without action.

______________________
October 2017

NO FORECLOSURE. The next move is to extinguish the 1st mortgage's lien and the Partial-Claim lien from HUD (the latter of which may be inextinguishable and we'll have to pay it, which is fine, of course.) We'll wait until next year to begin this process, as I'd like the decision to mature. And, to wait for possible motions made by the new lender, in which we can avoid paying docket fees by making cross-motions to accomplish extinguishment and settle it once and for all.