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Summary:
How Foreclosure Litigation Works in New York State
New York is a judicial foreclosure state, meaning all foreclosure cases must go through the court system. This isn’t like other states where lenders can foreclose quickly through non-judicial processes. Here, your lender must file an actual lawsuit against you and prove their case in court.
Before any legal action begins, your lender must send you a 90-day pre-foreclosure notice if you live in a one-to-four family home or condominium unit. This notice includes information about your default, how to cure it, and government-approved housing counseling agencies near you. After this waiting period, the lender can file their lawsuit.
The foreclosure process officially starts when your lender files a lawsuit in court and serves you with a summons and complaint. This is where many homeowners make their first critical mistake—they panic and do nothing, or they think a phone call to the lender’s attorney counts as a response. It doesn’t.
Critical Response Timeline: Your 20-30 Day Window
You have 20 days to file an answer with the court if served in person, or 30 days if served by mail or another method. This isn’t a suggestion—it’s a legal requirement that determines whether you keep your rights in the case.
If you don’t respond to the lawsuit, the bank will ask for and likely receive a default judgment, which is essentially an automatic win. Once that happens, you’ve lost most of your leverage and options. This default can have disastrous consequences—you could lose your home at a foreclosure auction and face a huge deficiency judgment on top of losing your property.
Filing an answer isn’t just about buying time. When you file a proper response, you must admit allegations you know are true, deny those that are incorrect, or state you don’t have sufficient information to admit or deny certain claims. More importantly, this is where you raise any defenses you might have.
Your answer should include affirmative defenses—legal arguments that could dismiss the entire case even if you’re behind on payments. These defenses are fact-specific and must be properly raised, or they’re considered waived. Common defenses include improper service of documents, failure to comply with pre-foreclosure notice requirements, lack of standing to sue, or violations of lending laws.
The complexity here is exactly why most homeowners need professional help. Mortgage lending and foreclosures are heavily regulated and subject to many laws, requiring extensive answers with detailed, fact-specific affirmative defenses and counterclaims customized to each client’s specific case. A generic response from an online template won’t protect your rights or give you the leverage you need.
Settlement Conferences and Negotiation Opportunities
For owner-occupied properties, New York law requires the court to schedule a foreclosure settlement conference within 60 days after the lender files proof of service. The conference aims to provide an opportunity to work out an agreement to avoid foreclosure, like a loan modification.
This settlement conference isn’t just a formality—it’s often your best chance to negotiate directly with your lender under court supervision. A court attorney referee typically presides over the conference to determine if you qualify for loan modification and establish a schedule for submitting and reviewing modification applications.
If you qualify for a modification, there’s usually a trial period requiring timely payments—typically no more than three monthly payments—after which the foreclosure action can be marked settled and disposed of. But here’s the critical point: your success in these negotiations often depends on how well you’ve positioned yourself in the litigation.
If you’ve filed a strong answer with valid defenses, you have leverage. If you’ve defaulted or filed a weak response, the lender knows they can simply proceed to judgment. Experienced attorneys maximize your chances for modification or other negotiated resolution based on their expertise and leverage in the legal system.
The settlement conference process can extend for months, giving you time to get your finances in order or explore other options. But it’s not automatic—you need to participate actively and meet deadlines. Miss a conference or fail to submit required documentation, and the case moves forward toward judgment.
When You Need a Foreclosure Defense Attorney on Long Island
The question isn’t whether you can handle foreclosure litigation yourself—it’s whether you can afford not to have professional help. Many individuals believe they can defend their foreclosure without an attorney, but costly mistakes at the beginning of the process can hurt your chances of keeping your home.
The intricacies of New York’s foreclosure laws, combined with the backlog of cases in Nassau and Suffolk Supreme Courts, make it imperative to approach the situation with informed legal guidance. Navigating the process independently often leads to costly errors that could jeopardize your ability to retain your home.
Consider the current local landscape. Nassau County saw a 31% increase in foreclosure cases in Q2 2025 with 173 cases, making it the most active foreclosure market in metro New York, while Suffolk County logged 142 cases despite a 43% decrease. This activity means courts are busy, deadlines are strict, and lenders are experienced in moving cases quickly through the system.
Complex Legal Requirements and Recent Law Changes
New York amended its foreclosure laws in 2022, requiring any foreclosure complaint on residential properties to contain an affirmative allegation that the plaintiff has “standing”—meaning they must prove they own and hold the mortgage and note, or have been delegated authority by the actual owner.
This might sound technical, but it’s created new opportunities for defense. Mortgages and their underlying notes are often bought and sold several times during their lifespans through assignments, and it’s the lender’s burden to prove they had proper title—a burden that’s not always simple for banks to meet.
We meticulously examine the bank’s foreclosure filings, mortgage documents, and assignments of the note and mortgage to verify compliance with both New York State and federal regulations. We look for gaps in the chain of ownership, improper assignments, or missing documentation that could dismiss your case entirely.
Beyond standing issues, we examine whether your lender followed proper procedures. If the lender didn’t send the required 90-day notice or didn’t strictly comply with notice requirements, you could have a powerful defense that might result in dismissal of the foreclosure action.
There are also federal regulations to consider. Federal mortgage servicing laws require servicers to contact you about loss mitigation options within 36 days of missed payments and provide written information about available options within 45 days. Federal law also generally requires servicers to wait until your loan is over 120 days delinquent before starting foreclosure. Violations of these requirements can provide additional defenses.
The Reality of Rising Foreclosure Activity in Nassau and Suffolk Counties
The foreclosure landscape on Long Island is shifting, and homeowners need to understand what this means for their cases. Suffolk County was the most active foreclosure market in the New York metro area in 2024, totaling 933 cases with a 20% year-over-year increase. Nassau County accounted for 567 first-time filings as the third most active foreclosure hotspot, though it saw a 43% decrease from the previous year.
Recent data shows Nassau, Suffolk, Queens, Kings, and Bronx counties had the highest number of foreclosure filings in New York State. This concentration means local courts are experienced with foreclosure cases, but it also means they move through high volumes efficiently.
For homeowners, this activity level has practical implications. With so many homes on Long Island in foreclosure, delays in both Nassau and Suffolk Supreme Court can be frustrating for homeowners facing foreclosure. But these delays can also work in your favor if you’re using the time productively to explore alternatives or negotiate with your lender.
The key is understanding that you’re not alone in this process. Thousands of Long Island families face similar challenges each year. We work with more than a thousand clients annually who are facing crushing debt, foreclosure, and financial instability. This experience means solutions exist, but you need to know how to access them.
If you’re facing foreclosure proceedings, you’re already under significant financial stress, which is why we offer flexible payment arrangements and “outside the box” options for legal services. The cost of legal help often pales in comparison to the value of your home and the long-term financial consequences of foreclosure.
Protecting Your Long Island Home: Next Steps in Foreclosure Defense
Foreclosure litigation doesn’t have to end with losing your home. New York’s 445-day average timeline gives you significant opportunity to explore options, but only if you act strategically from the beginning. The families who successfully navigate this process share one common factor: they sought experienced legal help early and used their time wisely.
One of the most important things you can do when facing foreclosure is responding immediately. Lenders are more likely to be flexible with borrowers who stay in contact and demonstrate willingness to develop solutions, and your time to formally object is limited. Every day you wait reduces your options and weakens your position.
Remember that New York law provides that you can reinstate your loan at any time before final judgment, and you can pay arrearages after judgment but before the sale to stay the proceedings. These rights are valuable, but only if you preserve them through proper legal action. If you’re facing foreclosure in Nassau or Suffolk County, don’t navigate this complex process alone. We have the experience and local knowledge to help protect your home and explore every available option for resolution.
