The date of the foreclosure sale is often a day of reckoning for a family that has fallen on hard times. Many times the homeowner will make a last-ditch effort to have the court stay the sale just one more time. I have found that in New Jersey, judicial patience for those motions or Orders to Show Cause, is non-existent. It is NOT, however, the final step. We had a client that came to us with three hours before the scheduled Sheriff’s Sale. We were able to prepare and file a Chapter 13 case to allow the client to save their home and cure the arrears on the mortgage. Even better, we were able to propose a Plan that may eliminate their second mortgage.
Until the gavel falls on a foreclosure sale, the window of opportunity remains open to save the property through a Chapter 13 Bankruptcy. If saving the home is not the final goal, but just getting a little more time is what is needed, then a Chapter 7 will still stop the sale and buy some more time.