What happens in a foreclosure case after all settlement conferences have ended
Authored By: Legal Services of the Hudson Valley
Disclaimer: The content on this site is offered only as a public service and does not constitute legal advice. You should contact an attorney who is knowledgeable in this area to obtain advice with respect to any particular issue or problem.
If you are in foreclosure and have just finished the settlement conference stage of your foreclosure case, here is information on what typically happens next and your rights during the process.
The court will release your foreclosure
When all settlement conferences have ended, the court will release your foreclosure case from the Foreclosure Settlement Conference Part.
You may still apply for a loan modification
Even after settlement conferences have ended, you may continue to apply, in writing, to the bank for a loan modification or other loss mitigation option, such as a short sale or deed-in-lieu of foreclosure.
If you need help understanding your loss mitigation options and how to apply for them, contact a housing counseling agency. Most housing counseling agencies offer free, or low-cost, assistance in this area.
Important deadline: You may apply for loss mitigation options until 37 days before the foreclosure auction sale date.
There are still steps the bank is likely to take against you
It will ask the court for an Order of Reference and a Summary Judgment
Generally, 1-6 months after settlement conferences, the bank will ask the court for one or two documents: (1) an Order of Reference and (2) Summary Judgment.
An Order of Reference asks the court to appoint what is called a referee. The referee’s job is to determine the full amount you owe the bank. Meanwhile, if the court grants Summary Judgment to the bank, this means that the court determined that a trial is not needed.
It will ask for a Judgment of Foreclosure and Sale
If the court approves the bank’s Order of Reference and Summary Judgment, the bank will then file a motion for a Judgment of Foreclosure and Sale. This document will state the final amount you owe the bank.
If the court grants the Judgment of Foreclosure and Sale, the bank will move forward with a foreclosure auction.
What you can do
You may oppose the bank’s motions by filing an Affidavits in Opposition. Legal Services of the Hudson Valley (or a legal services provider near you) may be able to help with writing your opposition to these motions. Another resource is the County Clerk’s Office, which offers templates for Affidavits in Opposition.
If your home is sold at auction, you do not need to move out right away
If your property is sold at a foreclosure auction, you do not need to leave your property immediately. The buyer must file an application with the court to have you removed from the property. This is an issue with which our office may be able to help.
This information was provided by Legal Services of the Hudson Valley, serving Westchester, Rockland, Putnam, Dutchess, Orange, Ulster and Sullivan counties. Call (877) 574-8529 for more information.