Lis Pendens VS Notice of Default - Posted by Panos A. (NY)

import · July 11, 2003, 1:13pm

Posted by Mike G on July 11, 2003 at 15:36:08:

Yes, it’s called taking a property over “subject to” the existing mortgage. Is best when used w/ a land trust. Look up the words “sub 2, subject to, land trust” in the archives.

import · July 11, 2003, 1:13pm

Posted by Panos A. (NY) on July 11, 2003 at 13:13:01:

Hi. I have a couple of questions about these initial stages of foreclosure.
1}What’s the difference between them?
The explanation I got was the same for both. There must be a difference:
“Notice of Default/Lis Pendens: This is the initial document filed by an attorney or trustee on behalf of the foreclosing lender that starts the foreclosure process.”
2}When a property is a Notice of Default or a Lis Pendens,
can I jump in, bring the mortgage to current, assume payments and stop the proccess, or, once the proccess starts then that’s it?

Thanks for any replies.
Panos A. (NY)

import · July 12, 2003, 12:23am

Re: Lis Pendens VS Notice of Default - Posted by Ronald * Starr(in No CA)

Posted by Ronald * Starr(in No CA) on July 12, 2003 at 24:23:21:

Panos A.–(NY)------------------

Lis Pendens is used in judicial foreclosures–usually on mortgages. Notice of default is used in non-judicial foreclosures–usually deeds of trust, although apparently some mortgages can contain an election to do a non-judicial foreclosure.

If you’re going to play in this area, I strongly urge you to study the NY state laws on foreclosure of loan instruments and similar. And not just the “black letter law” or the state statutes. Study the “anotated statutes” with comments on the court findings interpreting the laws.

Good InvestingRon Starr****

import · July 11, 2003, 1:39pm

Re: Lis Pendens VS Notice of Default - Posted by B.L.Renfrow

Posted by B.L.Renfrow on July 11, 2003 at 13:39:12:

Lis pendens is a latin term meaning “litigation pending” or something along those lines. It serves as notice to the world that a lawsuit may be about to be filed affecting title to the property. That’s the first “official” document appearing in public record in NY giving notice of the situation. The meaning is the same as notice of default.

Yes, certainly you can bring the loan current after the filing of the lis pendens. In fact, you can do it right up until the foreclosure sale. “That’s it” occurs after the foreclosure auction. There is no redemption period in NY, so once it’s gone, it’s gone.

Brian (NY)

import · July 11, 2003, 2:09pm

Re: Lis Pendens VS Notice of Default - Posted by Panos A. (NY)

Posted by Panos A. (NY) on July 11, 2003 at 14:09:11:

Thanks Brian. One more litle question. Is it possible to come to a “private” agreement with the owner to cure the loan and take over his/her payments with out instigating the due-on-sale clause or any other clauses that I don’t know about?
Again, thanks for replying
Panos A. (NY)