A lis pendens is an official notice that a lawsuit involving a property has been filed.

According to the New York State Department of Financial Services, an average foreclosure case takes about 445 days to be concluded in New York, with some taking much longer depending on the court in which the case was filed.

As of around mid-2019, New Jersey law requires the sheriff to conduct the foreclosure sale within 150 days, instead of within 120 days, of the sheriff’s receipt of a writ of execution.

A short sale is a property that has outstanding debt greater than its sale value. More specifically, a short sale is one in which the owner works with a bank to sell a property for less than the value of the debt. The bank allows for this type of transaction because they realize that the owner will otherwise default on the loans and the property will then be bank-owned and move to foreclosure.

Lenders prefer not to have a property go to foreclosure. Also, underwater owners who wish to preserve their credit can often sell a property and move on without bankruptcy this way. There may be more than one mortgage on a short sale and all lenders generally need to be in agreement on the terms of sale.

HAC Advisors has 29 years of experience and a trained staff who works to analyze, negotiate, and assist in the loss mitigation procedure. Our experts are committed in the negotiations and the processing of the short sale and will do their utmost to accomplish the most beneficial results possible.

• Reduction of Interest Rate. Lowering the interest rate will in essence lower the payment amount. At times lender increases the rate at a later period.
• Extending the life of your loan. The payments are spread over a longer period which would lower your payment amount. This would increase the total interest over the life of the loan.
• Adjustable Rate to Fixed Rate. Lenders may change your rate from an adjustable rate to a fixed rate which would allow payments to be predictable.
• Reamortization of Default or Forgiveness. Lender may add the balance of interest, fees and escrow to your mortgage and re-amortize your payments. They may also forgive the past due fees.

Lenders typically do not allow for reinstatement amount to be negotiated. They would want full payment or a loan modification to be performed in order to bring the mortgage current.

Lender’s perform a title search during the refinance process. This search will produce the open Lis Pendens on the property. Lenders will not provide a loan for a property with an active foreclosure action.

The best course of action is to modify the loan and then the lender would allow you to refinance after being current for a minimum of 6 months.

A deficiency judgment is an unsecured money judgment against a borrower whose mortgage foreclosure sale did not produce sufficient funds to pay the underlying promissory note, or loan, in full. The most common way to avoid a deficiency judgment is to voluntarily complete a short sale prior to foreclosure sale.

In the State of New York a judgment is valid for 10 years and in the State of New Jersey a judgment is valid for 20 years.

The deficiency judgment significantly affects the borrower from procuring another mortgage or loans.

If you are in foreclosure, and you are selling your house via short sale, the transaction must be arms length. There can be no relationship between the parties. Further, if you selling your house in a short sale transaction you will be required to move away and not live in the premises. You will be required to sign an affidavit at closing acknowledging this. Remember, all affidavits are sworn documents and are bound by the laws of perjury.

If you have inherited a house with no equity there still may be monetary options availble to you.

Most heirs incorrectly assume that there are no Monetary Options or they will be responsible for any negative equity of debt. If you’ve inherited a property, contact us to go over your options for specific property and your particular circumstance.

An arm’s length transaction refers to a business deal in which buyers and sellers act independently without one party influencing the other. These types of sales assert that both parties act in their own self-interest and are not subject to pressure from the other party; furthermore, it assures others that there is no collusion between the buyer and seller.