Once the bank files a foreclosure petition, the judge usually schedules a Foreclosure Settlement Conference. In this forum, the bank has a duty to negotiate in good faith. Therefore, loan modifications are common.
But that’s not always the case. Typically, by the time the bank files legal paperwork, the homeowner is seriously delinquent. That’s especially true if, as is commonly the case, the homeowner has already, and unsuccessfully, gone through the mortgage modification process. Significant delinquency is difficult to manage through a loan modification.
So, it’s often best to proactively obtain a loan modification. Unfortunately, in pre-foreclosure negotiations, there is no good faith duty. Banks can string homeowners along and deny application for any reason. Roemerman Law’s professional team does more than even the odds. In many cases, we give homeowners a needed edge.
If a mortgage modification is not the best option, there are a number of foreclosure alternatives. Some common ones include:
All these alternatives do not look as bad on credit reports as foreclosure. That result indicates that the homeowner gave up.
During these negotiations, an attorney must be both a legal advocate and a real estate agent. For example, banks almost never approve short sales unless a qualified buyer has already made a binding offer.
In some cases, negotiation is better than litigation. For a free consultation with an experienced New York foreclosure defense attorney, contact Roemerman Law, P.C. Convenient payment plans are available.