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Help for Homeowners

- Foreclosure Assistance - Help for Homeowners Facing Foreclosure.

• Find a Housing Counselor.
• If You Fall Behind.
• Know Your Options.
• Know Your Rights in Foreclosure.
• Settlement Conferences
  
  - An Occupant's Rights in Foreclosure.
• Rent-To-Own and Installment Contracts.
• Renter's Insurance
  
  - Basic Coverage and Adding Coverage.
• Force-Placed Insurance.
• Cancellations and Nonrenewals.
• Choosing a Policy.
• Just How Much Insurance Do You Need?
• Problems Obtaining Insurance.
• Flood Insurance.
• Understanding What Affects the Cost.
• Looking for Insurance.
• Managing and Mitigating Losses
  
  Residential Foreclosure Actions Consumer Bill of Rights
  
  This Residential Foreclosure Actions Consumer Bill of Rights offers assistance to property owners facing foreclosure in New York. A foreclosure is a lawsuit, and property owners should look for help from a lawyer or housing counselor in exploring possible legal defenses to the suit. Homeowners should also know their general rights and responsibilities highlighted listed below.
  
  Throughout the Foreclosure Process
  
  You have the right to stay in your home and the duty to maintain your residential or commercial property unless and until a court orders you to vacate. If you desert your home, the complainant (bank or mortgage servicer) might be able to foreclose on your residential or commercial property through an expedited process in court. To avoid this outcome, stay in your home and thoroughly review and react to documents you receive from the complainant or the court in your foreclosure case. A failure to react or appear in court when needed to do so might make it simpler for the plaintiff to reveal that your residential or commercial property is vacant and abandoned, which might put you at threat of an accelerated foreclosure.
  
  You have a right to be represented by a lawyer and may be qualified for totally free legal or housing counseling services.
  
  You have a right to be free from harassment or foreclosure scams. Strongly consider speaking with a lawyer or housing counselor, if offered, before signing any documents. If you are the target of harassment or scams, contact DFS by calling our Consumer Hotline at (800) 342-3736.
  
  You have a right to avoid foreclosure if you repay your loan in complete at any time prior to the sale of your home, or if you work out a settlement with the complainant.
  
  Before a Foreclosure Action Begins in Court
  
  You have a right to be informed at least 90 days before a foreclosure match is filed informing you that you are in default and at risk of foreclosure. You have the right to check out "loss mitigation" alternatives that might allow you to keep your home and prevent lawsuits. The bank or mortgage servicer is needed to help you understand your loss mitigation alternatives. If you have submitted a finished loss mitigation application, your bank or mortgage servicer need to complete its review of your application before proceeding with the foreclosure suit.
  
  RPAPL § 1303 has been changed to need plaintiffs in foreclosure actions to supply a more specific and useful notification to borrowers concerning their rights and commitments during the foreclosure process. Specifically, the notification needs to indicate that homeowners deserve to stay in their homes till a foreclosure sale occurs and the obligation to preserve their residential or commercial property and pay applicable taxes up until such time. This area is planned to help prevent residential or commercial properties from ending up being uninhabited in the first place. Read the particular language required by RPAPL § 1303.
  
  RPAPL § 1304 needs mortgage lenders to provide borrowers at least ninety days' notification before beginning a foreclosure action. Currently, this Pre-Foreclosure Notice (" PFN") must include the following language: "Since ___, your mortgage is ___ days in default ... You can cure this default by making the payment of ___ dollars by ___." Unfortunately, borrowers typically analyzed this provision to indicate that as long as the borrower provided the specified quantity by the date defined, the loan would be renewed. Quite frequently, the "cure date" defined in the PFN is the earliest date on which the financial institution can begin a foreclosure action, which is 90 days after sending the PFN. When the a full 90 days to supply the amount defined, any missed payments and associated interest and costs from the intervening months would be contributed to the shortage. In such a case, the borrower who submits the amount set forth in the PFN would remain in default due to stepping in accruals, regardless of his or her good-faith efforts to address the default defined in the PFN.
  
  The brand-new law addresses this problem by changing the very first line of the notice to check out "Since ____ your mortgage is ____ days and ___ dollars in default." Similarly, it includes language to RPAPL § 1304 which highlights the debtor's continuous rights and responsibilities throughout the foreclosure procedure. Read the brand-new pre-foreclosure notification language.
  
  Once a Foreclosure Action Begins
  
  You can get a copy of the legal documents in the foreclosure claim when it begins. This is called "service" of the Summons and Complaint. You must respond to the Summons and Complaint with an "Answer" within 20 days after you have been personally served, and within 1 month if served on you by other methods. The Answer is your chance to state your defenses.
  
  You must talk to an attorney or housing therapist for aid in this procedure.
  
  You have an obligation to appear at all set up court looks. If you fail to appear, you run the risk of losing crucial rights, which might cause the loss of the case and your home.
  
  You have a right to demand court approval to proceed without paying court expenses.
  
  At an Obligatory Settlement Conference
  
  You have a right to an explanation of the nature of the foreclosure action versus you.
  
  Both parties have an obligation to bring all required files to the settlement conference. For a general list of needed documents, visit the Mandatory Settlement Conference information page.
  
  Both parties need to work out in "great faith", which suggests truthfully and fairly. If you stop working to do so, you might lose the opportunity to pursue a court-supervised settlement. If the bank or mortgage servicer stops working to do so, the court may impose likewise significant penalties. Negotiating in great faith does not require either party to settle.
  
  If you formerly failed to submit a Response, you will be given an additional thirty days to do so at the settlement conference.
  
  After Settlement Agreement or Fully Executed Loss Mitigation Agreement
  
  Within 90 days of settling a settlement, the lis pendens designation on your residential or commercial property, which alerts individuals that title to your residential or commercial property is in dispute, should be raised.
  
  You may be accountable for additional taxes if you reach a settlement that includes debt forgiveness. Seek recommendations from a tax professional about any resulting tax consequences.
  
  After Judgment of Foreclosure and Sale
  
  Upon a judgment of foreclosure and sale, the brand-new owner can look for to evict you from the residential or commercial property.
  
  If the home is resold for more than what you owe, you have a right to submit an application with the court for the surplus funds, based on certain deadlines. It is very important to seek aid from a legal company if you think you are owed a surplus.
  
  If the home is offered for less than what you owe, the lender might file an application for a judgment versus you for the difference, referred to as a deficiency judgment. You may have the right to contest the amount of any deficiency judgment, including interest and charges.
  
  Get Help! Contact a Not-for-Profit Housing Counselor
  
  Housing therapists that handle foreclosure-related concerns can provide you advice on your alternatives and resources at little or no cost. They might likewise be able to work out with your lender for free and assist you discover free legal services in your area.
  
  Housing therapy resources for New Yorkers include:
  
  - New York's Homeowner Protection Program (HOPP), which gets in touch with housing therapists and legal services at no cost. Call the HOPP hotline at (855) 466-3456 or go to homeownerhelpny.com.
• You can find a list of approved non-profit housing counselors by county here, on the DFS website.
• 24-Hour assistance is available toll-free on the HOPE NOW hotline at 888-995-HOPE (888-995-4673). HOPE NOW is an alliance of HUD approved counseling representatives, servicers, and investors that offer complimentary support.
• If you reside in New York City, you can likewise call 311.
  
  If you remain in a foreclosure lawsuit, you must speak with a lawyer.
  
  Seek Legal Assistance
  
  Contact a lawyer and evaluate your mortgage files. Make certain your loan is not in offense of any laws. If you do not have an attorney, the New york city State Bar Association might be able to refer you to an appropriate lawyer for your situation.
  doctorhousingbubble.com
  If you can not afford a personal attorney, resources free of charge or low-priced legal help include:
  
  - New york city's Homeowner Protection Program (HOPP), which connects with housing therapists and legal services at no charge. Call the HOPP hotline at (855) 466-3456 or see homeownerhelpny.com.
• The New York City State Bar Association's Lawyer Referral and Information Service.
• The Legal Service Corporation website. LawHelp.org, an online directory site of totally free legal provider in New York.