If you are facing foreclosure, the situation might seem hopeless. However, you should not throw the towel in just yet—you might be able to delay foreclosure through carefully thought-out legal tactics.
While delaying foreclosure may not prevent it entirely, a delay can give you enough time to find a new home and get your wits about you. Let’s go over some of your options.
Challenge a judicial foreclosure in court
There are two main types of foreclosures: Judicial foreclosure and nonjudicial foreclosure. Delaying each type will require a different tactic.
In a judicial foreclosure, the lender tries to get a judgment from the court so they can foreclose on your home. You will likely have a few weeks to respond to the lender’s lawsuit. One way to delay foreclosure is to wait a little longer before filing your paperwork.
However, the main strategy is to fight the foreclosure in court. A defense will prevent your lender from getting a default judgment. If your defense is strong enough, you may be able to push the suit into trial.
Having enough evidence can help you get a favorable outcome in court. In most cases, this would be a dismissal “without prejudice” from the judge, which will force the lender to restart the foreclosure process.
Nevertheless, fighting any kind of lawsuit in court can be challenging. It is highly advisable to consult a real estate attorney who can analyze your case and help you build a strong defense.
File your own lawsuit
The second type of foreclosure is a nonjudicial one, which allows lenders to foreclose on a property without a court order. If you want to fight it, you will need to file your own lawsuit in court.
However, this may not be the right strategy if you only want to delay the process and do not have a strong defense. In that case, consider the next tactic.
Apply for loss mitigation
According to federal law, the lender cannot request a foreclosure from the court if you submit a loss mitigation application within this timeframe:
- After foreclosure starts
- More than 37 days before a sale
If the lender accepts your application, the foreclosure process ends, and you get a new payment agreement.
Preventing foreclosure is not always possible, but delaying it can give you enough time to fight the process and prepare for your next move.
