Plainfield, NJ Mortgage Foreclosure Lawyers

Nothing is as heart-stopping as receiving a mortgage foreclosure. While it can seem like the world is closing in around you when this happens, we can help you fight your foreclosure so you can stay in your home.

If you are a homeowner facing a mortgage foreclosure in Plainfield, enlisting the services of a competent and experienced firm can be instrumental in preventing the worst-case scenarios. Getting a notice of foreclosure is only the beginning of the process, giving you time and options to fight it. With our assistance, you can negotiate a solution with your lender that works for you and your family. However, we can also help you file a lawsuit if you are the victim of unfair or deceptive lending practices.

For a free case review with our mortgage foreclosure lawyers, contact Young, Marr, Mallis & Deane at (609) 755-3115.

How to Stop a Mortgage Foreclosure in Plainfield, NJ

Getting a foreclosure notice does not necessarily mean that your house will be taken away from you. In Plainfield, there are several options that can assist you and your family in keeping your home. Our mortgage foreclosure attorneys can help you review these options to see which solution will work best for you. The following are common strategies to prevent or stall a mortgage foreclosure in Plainfield:

Make Payments

The most straightforward way to stop a foreclosure is to catch up on your overdue mortgage payments. This might seem challenging, especially if you are facing financial difficulties, but it is worth exploring all possible avenues to raise the necessary funds.

You could consider tapping into your savings, borrowing from a retirement account, or asking friends or family for a loan. Remember, it is crucial to communicate with your lender about your efforts to make payments. They might be more willing to work with you if they see you are proactive about resolving the situation.

Restructure Your Mortgage

If making back payments is not feasible, another option could be to restructure your mortgage. This typically involves modifying the terms of your loan, such as extending the repayment period, reducing the interest rate, or even deferring some of the principal balance.

To qualify for a loan modification, you will generally need to demonstrate financial hardship and the ability to make the modified payments. It is advisable to consult with a housing counselor or attorney to help you navigate this process.

Request a Mortgage Forbearance

In some situations, your lender might agree to a temporary pause or reduction in your mortgage payments, known as a forbearance. This can provide immediate relief if you are facing short-term financial difficulties, such as job loss or medical expenses.

However, keep in mind that forbearance is not a long-term solution. You will eventually need to make up the missed payments, either in a lump sum or through increased future payments.

File for Bankruptcy

Filing for bankruptcy can also provide temporary relief from foreclosure. When you file for Chapter 7 bankruptcy, an automatic stay goes into effect, which stops most collection activities, including foreclosure.

However, Chapter 7 bankruptcy typically does not allow you to keep your home if you are behind on your mortgage payments. Instead, it can delay the foreclosure process, giving you some time to arrange for a place to live.

Unlike Chapter 7, Chapter 13 bankruptcy allows you to keep your home and catch up on missed mortgage payments over time. You will need to propose a repayment plan, typically spanning three to five years, that includes your regular mortgage payments and an amount towards your arrears.

To qualify for Chapter 13 bankruptcy, you will need sufficient income to cover your repayment plan and meet other eligibility requirements.

The Right to Redeem

In Plainfield, homeowners have the right to redeem their property by paying off the full amount of the mortgage debt, plus costs, up until the completion of the foreclosure sale. While this might seem like a tall order, if you can secure the necessary funds, it is a surefire way to stop the foreclosure and retain ownership of your home.

Filing a Lawsuit Could Defend Against a Mortgage Foreclosure in Plainfield, NJ

If you believe your lender has not followed proper foreclosure procedures or violated any laws, you might consider filing a lawsuit. This can potentially stop the foreclosure process, at least temporarily, while the case is pending. The following are common defenses you can assert to stop a mortgage foreclosure in Plainfield:

Violations of Lending Laws

A common defense against mortgage foreclosure involves proving that the lender violated federal or state lending laws. These laws are designed to protect homeowners from unfair lending practices and ensure transparency in the lending process.

For instance, under the Truth in Lending Act (TILA), lenders must disclose key loan terms and costs to borrowers. If your lender fails to comply with these requirements, you might have grounds to challenge the foreclosure.

Similarly, under the New Jersey Fair Foreclosure Act, lenders are required to provide homeowners with a notice of intention to foreclose at least 30 days before filing a foreclosure complaint. If your lender fails to provide this notice, this could also serve as a defense against foreclosure.

Predatory Lending

Predatory lending refers to unscrupulous practices by lenders aimed at exploiting borrowers. Examples include excessive fees, ballooning interest rates, and loans that the borrower clearly cannot afford.

If you were a victim of predatory lending, you might be able to use this as a defense against foreclosure. To do so, you must demonstrate that your lender engaged in deceptive or unfair lending practices when issuing your mortgage. This could involve showing that your lender misrepresented the loan terms, failed to adequately explain the loan terms, or approved a loan that you clearly could not afford.

Failure to Follow Foreclosure Rules

Every state has specific procedures lenders must follow when foreclosing on a property. In Plainfield and throughout New Jersey, foreclosures must go through the court system, and lenders are required to provide certain notices to homeowners.

If your lender failed to follow these procedures, this could serve as a defense against foreclosure. For example, if your lender failed to properly serve you with the foreclosure complaint before initiating proceedings or neglected to include necessary information in the complaint, you might be able to challenge the foreclosure.

Keep in mind, however, that procedural defenses typically only delay the foreclosure process. This rarely results in the dismissal of the foreclosure. Nevertheless, this defense can buy you some time to explore other options to prevent foreclosure, like those discussed above.

Our Plainfield, NJ Mortgage Foreclosure Attorneys Can Help You Explore Options to Stop You Foreclosure

Call our mortgage foreclosure attorneys at Young, Marr, Mallis & Deane by dialing (609) 755-3115 and get your free case assessment today.