New York Foreclosure Help 2026: How the Court Process Works and What You Can Still Do

Getting court papers about your home is scary, and the legal words can make it worse. New York's process is slow and has built-in chances to fix things, so you have more time and more help than you may think.

Is New York a judicial foreclosure state?

Yes. In New York, a lender generally has to file a lawsuit in the state Supreme Court (the county trial court) to foreclose on a home. A judge must approve the foreclosure before any sale. You can read how this differs from other states in our guide to judicial vs. non-judicial foreclosure.

The main rules are in Article 13 of the Real Property Actions and Proceedings Law (RPAPL) and in CPLR 3408. Federal rules also apply. A servicer usually cannot make the first foreclosure filing until you are more than 120 days behind (12 C.F.R. §1024.41). Use that time to apply for help.

How does foreclosure work in New York, step by step?

1. 90-day notice (RPAPL §1304). For a home loan on your primary home (1–4 family or condo), the lender must mail you a notice at least 90 days before it sues. It goes by certified or registered mail and first-class mail, in its own envelope, and must list at least five housing counseling agencies in your county.
2. Summons and complaint. The lender files the case. Under RPAPL §1303, you must get a "Help for Homeowners in Foreclosure" notice with the papers. It is printed on colored paper and says, "You are in danger of losing your home." Tenants must also get notice within 10 days.
3. Your answer. Your deadline to respond is short, often 20 or 30 days depending on how you were served. Filing an answer keeps your defenses alive. A legal aid lawyer can help.
4. Settlement conference (CPLR 3408). If you live in the home, the court must hold a conference within 60 days after proof of service is filed. Both sides must negotiate "in good faith."
5. Judgment of foreclosure and sale. If no deal is reached and the lender wins, the judge signs a judgment and appoints a referee.
6. Notice of sale (RPAPL §231). The sale must be advertised in a local newspaper, usually once a week for four weeks.
7. Referee's auction. The referee sells the home at public auction, usually at the courthouse.

If you just got papers, see what to do after you have been served foreclosure papers.

How long does foreclosure take in New York?

Longer than almost anywhere else. ATTOM's midyear 2026 report found that homes foreclosed in New York in the second quarter of 2026 took an average of 2,007 days, the third-longest in the country. The national average was 563 days.

Your case may move faster or slower. Missed deadlines, a default judgment, or no answer can speed it up. Conferences, motions, and loan reviews can slow it down. Do not wait for the case to drag on. Every month adds interest, fees, and taxes to what you owe.

What is the settlement conference, and how do you prepare?

The CPLR 3408 conference is your best chance to make a deal in court. A court attorney or referee meets with you and the lender's lawyer to look at options like a loan modification, repayment plan, or short sale.

The law says you should bring recent tax returns, a list of expenses, property tax info, past loss mitigation applications, benefits information, and any rental income papers. If the court finds the lender did not negotiate in good faith, it must stop interest, costs, and fees from building up during the delay the lender caused.

Can you redeem, and who pays a deficiency?

Redemption. You can generally stop the foreclosure by paying what is owed, plus costs, before the referee's sale. New York does not give a right to buy the home back after the sale.

Deficiency. If the sale brings less than you owe, the lender may ask for a deficiency judgment. Under RPAPL §1371, it must ask within 90 days after the sale closes. The court subtracts the higher of the sale price or the home's fair market value. If the lender misses the deadline, the sale counts as full payment.

Surplus money. If the home sells for more than the debt and costs, the extra is held for the court. Under RPAPL §1361, you file a claim and bring a motion, often within three months after the referee's report of sale is confirmed. Learn more about surplus funds after an auction.

What New York help programs are open in 2026?

• Homeowner Protection Program (HOPP). This is a network of more than 90 free housing counseling and legal services groups statewide. The state budget passed May 28, 2026, includes $40 million for HOPP. Call 1-855-HOME-456 (1-855-466-3456).
• HUD-approved counselors. Call 1-800-569-4287. Your 90-day notice also lists five local agencies.
• Your servicer's programs. Repayment plans, modifications, and deferrals. FHA, VA, and USDA loans have their own rules.

Be careful with older articles. The New York State Homeowner Assistance Fund (NYS HAF) is no longer accepting applications, though a waitlist has been offered. Never pay upfront fees to anyone promising to save your home.

New York foreclosure rules at a glance

What to do this week

1. Find your deadline. Look at the date you were served. Your time to answer may be only 20 or 30 days.
2. Call HOPP at 1-855-466-3456. Ask for a free lawyer or counselor near you.
3. Gather papers. Pay stubs, tax returns, bank statements, bills, and a short hardship letter.
4. Apply to your servicer. Send a complete loss mitigation application and keep proof you sent it.
5. Go to every court date. Missing the settlement conference can hurt you.
6. Weigh selling. If keeping the home is not realistic, selling before the referee's sale, including to a direct cash buyer, may protect your equity. See selling to avoid foreclosure.