Many people think that if your home is facing foreclosure, you are out of options. However, that is far from the truth. Until foreclosure is complete, your home is still yours to do with as you want. This means that even if your home is scheduled for a sheriff sale, you can still make every attempt to save it, or even sell it.
Selling Your Home During Foreclosure in New Jersey
The New Jersey Fair Foreclosure Act (N.J.S.A. 2A:50-53 et seq.,) provides that NJ homeowners should have every chance to keep the equity in their homes. You have equity if you can sell the home for more than you owe to the lender and any judgment creditors and lienholders. Any equity that you have in your home is still yours during foreclosure. If you can sell your home for more than you owe, you have the right to file a motion with the Court and in many instances, a New Jersey Judge will stay the sheriff sale and give you the chance to sell it and keep your equity.
Up until the home is sold at auction, even after your lender has obtained a final judgment of foreclosure, you still have the option to stop the foreclosure by selling your home and using the money you make from the sale to pay back your lender for everything you owe on the mortgage plus fees.
If you do decide to go this route, it is wise to make the decision sooner rather than later in order to give you the most time to find a buyer for the house.
Can I Still Get a Loan Modification if a Sheriff Sale is Scheduled?
If you do not want to sell your home and would rather try to stay in it and stop the sheriff sale, note that it is still possible to get a loan modification even after a final judgment has been entered.
If a complete loan modification application is received by your lender at least 38 days prior to the Sheriff Sale, and there has not been a prior modification application reviewed by this servicer, they must adjourn the sale and review the application. However, it is recommended to have the complete application submitted at least 45 days before the sale to get the most protections.
At the Law Office of Ira J. Metrick, we can review your eligibility for a loan modification and give you an estimate of what the modification payment terms would be.
Contact The Law Office of Ira J. Metrick Today
If your home is scheduled for a sheriff sale and you have home equity or would like to discuss your options for getting a loan modification, contact The Law Office of Ira J. Metrick today to discuss your options.