If you live in New York, and are going through the foreclosure process, there are a number of terms you are going to come across. Today we’ll be talking about a Motion for a Judgment of Foreclosure and Sale and what it means to you in your foreclosure case.

The Ending Stages of the Foreclosure Process

In a previous post, we spoke about Referee Hearings and Notices of Computation. Once the Referee has reported their finding to the court (and your lenders and your foreclosure lawyer), and everyone has accepted these results (or you were unable to reject the findings via trial), the court is ready for one of the final steps in the foreclosure process.

What is a Motion for a Judgment of Foreclosure and Sale?

By requesting a motion for a Judgment of Foreclosure and Sale, your lender will try to show the court that: a) the foreclosure action was prosecuted correctly, and they met their procedural requirements in the case; and b) the amounts owed to the plaintiff are fair, reasonable and accurate and should be approved by the court. If the motion is granted by the court, the Judgment of Foreclosure and Sale will order that the mortgaged premises be sold at public auction at a particular date and time, typically four months after entry of foreclosure judgment.

What Can Be Done to Stop the Judgment of Foreclosure and Sale?

You and your foreclosure attorney still have some options before a Judgment of Foreclosure and Sale motion is granted, and can stop the foreclosure through an Order to Show Cause:

• The judgment of foreclosure and sale should only be made when there is a valid, unexpired Notice of Pendency filed in the last 3 years. If the notice has expired, the motion would be invalid. 
• New York State allows you to raise a Defense of Standing at any time during the foreclosure process – even this late in the process. If your lender cannot successfully prove that it in fact owns your mortgage (especially since mortgages tend to be bought, sold, and securitized) then the foreclosure must be stopped until they can prove ownership.
• Your foreclosure attorney can also claim “clear and convincing evidence of fraud, exploitive overreaching or unconscionable conduct on the part of the mortgagor or other party” if it can be proved that your lender was acting unethically during the foreclosure process.
• You can request Reinstatement. If you are suddenly able to repay what you owe (including all costs and fees) entirely, the court can stop the foreclosure.
• You declare bankruptcy.

What Happens if the Motion for Judgment of Foreclosure and Sale Goes Through?

If the motion for Judgment of Foreclosure and Sale is passed, the court will then dictate that the Referee will need to sell your home and property at public auction. However, if your foreclosure attorney thinks there is a chance that some aspect of the case can be litigated, you may be able to stop the sale on appeal. 

Otherwise, the Referee will auction off your home and, once all expenses are taken care of, will give the money to your lenders to pay the debt. Be aware though, that in New York, if the money from the sale doesn’t cover all the debt, your lender may still come after you for the balance.

Click here to read more about the topic – https://www.ny-bankruptcy.com/motions-for-judgment-of-foreclosure-and-sale-in-new-york/

What to Do Next

If your lenders have sent you documentation mentioning foreclosure, reach out to New York foreclosure lawyer Ronald Weiss immediately. After a free consultation, he can tell you what you need to know about fighting a foreclosure lawsuit and help you get your case started. Call 631-271-3737 and take the first step to a fresh start.