New York Foreclosure Process: A Step-by-Step Timeline

If you have missed mortgage payments, the most important thing to know about the New York foreclosure process is this: it is slow, it runs through the courts, and you have rights at every step. New York is a judicial foreclosure state, which means a lender cannot take your home without a court case and a judge’s order.

That gives you time. According to ATTOM foreclosure data, New York foreclosures completed in mid-2025 had been in process for an average of 1,927 days, more than five years from start to finish. Every case is different, but the process almost always takes longer than homeowners expect.

This guide walks through each stage of the process, what happens, and what you can do at each point to protect your home.

Step 1: Missed payments and the 90-day notice

Foreclosure does not start the day you miss a payment. After a few missed payments, your loan servicer will send letters and make calls about the amount you owe.

Before a lender can file a foreclosure case on a home loan, New York law requires a 90-day pre-foreclosure notice (Real Property Actions and Proceedings Law, or RPAPL, § 1304). The notice must:

• Be sent at least 90 days before the foreclosure case is filed
• Be mailed to each borrower by both certified or registered mail and first-class mail
• Use specific wording set by the law
• Include a list of at least five housing counseling agencies near you

If the lender does not follow these rules exactly, a court can dismiss the foreclosure case. Keep every letter you receive, with the envelope.

What to do now: Call one of the housing counselors on the list, or contact a nonprofit like Abraxas Foundation. These 90 days are often the best time to apply for a loan modification or repayment plan, before court costs and legal fees are added to your balance.

Step 2: The lender files the foreclosure case

If the default is not resolved, the lender files a summons and complaint in the New York State Supreme Court in the county where your home is located. The papers must include a “Help for Homeowners in Foreclosure” notice that explains your rights (RPAPL § 1303).

Once you are served, the clock starts on your time to respond:

• 20 days to answer if the papers were handed to you personally
• 30 days if they were delivered another way, such as left with someone at your home and mailed

Do not ignore the papers. Even if you think you cannot afford a lawyer, there are free legal services and housing counselors across New York who help homeowners respond.

Step 3: The mandatory settlement conference

For most owner-occupied homes, New York requires a mandatory settlement conference (Civil Practice Law and Rules, or CPLR, § 3408). This is one of the strongest protections homeowners have.

• The court must schedule the conference within 60 days after the lender files proof that you were served.
• Both sides must negotiate in good faith toward a solution, such as a loan modification or a short sale.
• If you appear at the conference without having answered the complaint, you get 30 days from that first appearance to file your answer.
• The lender must bring your payment history, the amounts needed to bring the loan current, and loss mitigation application forms.

If a lender does not negotiate in good faith, the court can stop interest and fees from building up during the delay and can impose penalties.

What to do now: Go to every conference. Bring your financial documents. We explain exactly what to bring in our guide to the foreclosure settlement conference.

Step 4: Motions and the judgment of foreclosure

If no agreement is reached, the case returns to the regular court calendar. The lender will usually ask the court for a judgment. The court may appoint a referee to calculate how much is owed.

If the judge rules for the lender, the court issues a judgment of foreclosure and sale. Under New York law, the judgment generally directs that the sale be held within 90 days (RPAPL § 1351).

You can still raise defenses during this stage, such as problems with the 90-day notice, how you were served, or whether the lender has the right to foreclose. This is where help from an attorney matters most.

Step 5: The foreclosure auction

The home is sold at a public auction, usually at the courthouse, run by a court-appointed referee. Notice of the sale must be published in a local newspaper for several weeks before the auction date.

Until the sale happens, you may still be able to stop it by paying what is owed, reaching a modification, completing a short sale, or in some cases filing for bankruptcy. If the home sells for more than what is owed, the extra money (the “surplus”) may belong to you, and you must claim it through the court.

Step 6: After the sale

After the auction, the new owner receives a referee’s deed. If you are still living in the home, the new owner must give you a 10-day notice to quit and then go to court to evict you (RPAPL § 713). Tenants in a foreclosed home have separate protections.

If the sale price does not cover the debt, the lender may ask the court for a deficiency judgment for the difference. The lender must do this within 90 days after the sale is completed, and the amount is limited by the home’s fair market value (RPAPL § 1371).

How long does foreclosure take in New York?

There is no single answer. Delays come from court backlogs, settlement conferences, the homeowner’s defenses, and the lender’s own paperwork problems. Roughly:

Stage	Typical time
Missed payments to 90-day notice	Often a few months of missed payments
90-day notice to filing	At least 90 days
Filing to settlement conference	About 2 to 3 months
Settlement conference to judgment	Many months to several years
Judgment to auction	Usually several months

Statewide, the average case has taken years, not months. That time is valuable. Use it to explore every option before the auction.

Your options at any stage

You may be able to stop or avoid foreclosure through:

• Loan modification: Changing the terms of your loan to make payments affordable
• Repayment plan or forbearance: Catching up over time or pausing payments temporarily
• Short sale: Selling the home for less than you owe, with the lender’s approval
• Deed in lieu of foreclosure: Giving the home back to the lender to end the case

Read more in Understanding Your Foreclosure Options.

Get free help with the New York foreclosure process

You do not have to go through the New York foreclosure process alone. Abraxas Foundation is a nonprofit that helps New York homeowners understand their options, prepare for settlement conferences, and connect with free legal help. We never charge a fee.

Call us at (929) 346-5734 or contact us online for a free, confidential review of your situation.

Helpful official resources: NY Courts CourtHelp: Foreclosure and NY DFS Foreclosure Consumer Bill of Rights.

This article is general information, not legal advice. Laws and court procedures change, so speak with a housing counselor or attorney about your specific case.