Homeowner Rights & Foreclosure Prevention

Did you receive a 90-day pre-foreclosure notice? Are you the victim of deed theft or scams? Are you having issues with a zombie second mortgage or reverse mortgage? Legal Services NYC is here to help. 

Legal Services NYC’s dedicated team provides critical legal services to homeowners navigating the judicial foreclosure process and helps New Yorkers save their homes. Our advocates challenge predatory lending practices, abusive mortgage servicing, scams targeting vulnerable homeowners, fair housing and lending violations, and helps homeowners find solutions to save their homes.

LSNYC’s partners include non-profit organizations, housing counselors, social service agencies and local government. Our advocates also conduct trainings, outreach and education activities in conjunction with community and government partners.

For free legal help, call Legal Services NYC at 917-661-4500 Monday through Friday from 9:30 a.m. to 4 p.m. Learn more about our intake process here.

* The information does not constitute legal advice. You should always consult an attorney regarding your matter. Legal help subject to capacity and location.

Frequently Asked Questions

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How can I protect myself against deed thefts and loan scams? 

If you are behind on your mortgage or property taxes, beware of scammers asking you for money up front to get you a loan modification. There are free housing counseling agencies who provide that help, and New York law prohibits charging in advance for help with loan modifications. Many scammers will try to trick you into signing papers to transfer ownership of your property to them or others, telling you that they are going to help you save your home. Never sign any papers without seeking advice from a lawyer that you have contacted on your own. 

Learn more here.

What do I do if I receive foreclosure papers?

A foreclosure is a lawsuit brought against you to take your home. A foreclosure can be brought by your mortgage lender, claiming that you failed to pay (“defaulted”) on your mortgage loan. A foreclosure can also be brought against you if you get behind on your property taxes or your water bill. At least 90 days before starting a foreclosure case, the bank or the company that services your mortgage for the bank must send you a letter called a “90-day notice” by regular and certified mail. The 90-day notice tells you that you are in default and the amount of money you would have to pay to catch up. It will also provide information about local housing counseling agencies who may be able to help you work with your lender to prevent the lender from starting a foreclosure case against you. 

If you have not resolved the payment issue with your lender after you have received a 90-day notice, the lender (or the mortgage servicing company that works for the lender) will start a foreclosure case by filing in court and delivering a summons and complaint to you . Do not ignore those papers —you should seek help from an attorney right away if you are served with court papers, even if you are already working with your lender,  and even if the lender (who will be the plaintiff in the court case) tells you not to bother. If you do not send your answer to the plaintiff’s attorneys and to the court, you may lose the ability to defend the court case. You may be eligible for free help in answering the complaint from lawyers with experience in defending against foreclosure actions.

Learn more here.

How can I prevent foreclosure with a reverse mortgage?

Many senior homeowners with reverse mortgage loans are at risk of foreclosure, often because of non-payment of taxes or property insurance. If you’ve fallen behind, you may be able to get back on track with emergency assistance or a repayment plan. Check out these tips and facts to better protect your home against foreclosure when you have a reverse mortgage.

Learn more here.

Can a lender foreclose on my co-op?

Foreclosures on co-ops happen much quicker than it does for houses, condos, or other real property because it does not require going to court. For example, failure to make monthly payments to the co-op’s lender or a failure to make required co-op maintenance payments (including special assessments) owed to the co-op, can lead to foreclosure by the lender. If you receive a 90-day notice or a notice of foreclosure, you should seek help right away!

Learn more here.

Can unpaid property taxes and water bills lead to foreclosure?

Yes, you are AT RISK if you are behind on your property taxes or water/sewer charges. Unpaid amounts become tax liens that may be sold in a tax lien sale and may lead to foreclosure. Although New York City paused tax lien sales during the pandemic, discussions are underway to restart the sales. You may be able to work out a repayment agreement or defer paying your property taxes with the city to avoid foreclosure. 

Learn more here.

I am on NYC’s Tax Lien Sale List for May 2025. What can I do to avoid it?

If you do not pay your property taxes, water and sewer charges, and other property-related charges, your property may be at risk of being included in a lien sale. When you are included in the lien sale, the City of New York sells your debt to an authorized buyer. The buyer then has the right to collect what you owe. This does not mean that your property has been sold, but if you do not resolve your outstanding debt, the lien sale can be a first step toward foreclosure. If you are at risk of being included in the lien sale, you will receive warning notices in the mail 90, 60, 30, and 10 days before the sale.

If you receive a warning notice, there are steps you can take to avoid the sale.

Learn more here.

What if my Homeowners Association (HOA) is suing me? 

Sometimes owning a home can present problems. Not only can your neighboring homeowners cause you concern, but the homeowners association (“HOA”) can be difficult to deal with, too. Arming yourself with the basic information about HOAs and how they work could help you prevent problems or unnecessary legal action. 

Learn more here.