A Guide to the NJ Foreclosure Mediation Program

If you are facing foreclosure in New Jersey, you don't have to face your lender alone. The New Jersey Foreclosure Mediation Program is a state-sponsored initiative designed to help homeowners and lenders find mutually agreeable alternatives to foreclosure.

What is Foreclosure Mediation?

Mediation is a process where a neutral third party (the mediator) helps you and your lender's representative communicate. The goal is to explore options like loan modifications, repayment plans, or short sales without the pressure of a courtroom. It is a free service for eligible homeowners.

Who Qualifies for the Program?

To be eligible for the NJ Foreclosure Mediation Program, you generally must meet the following criteria:

• The property must be a one-to-three family residential property.
• The property must be your primary residence.
• You must be the borrower on the mortgage being foreclosed.

How and When to Apply

Timing is critical. You typically have 60 days from the time you receive the foreclosure complaint to request mediation. You can apply by submitting a Mediation Request form, along with required financial documents, to the court.

Why You Should Participate

Even if you aren't sure you can afford the home, mediation pauses the foreclosure process while negotiations are ongoing. It forces the lender to assign a specific representative to your case, ending the frustration of calling a 1-800 number and speaking to a different person every time. It's one of your most powerful tools for buying time and finding a real solution.

Need guidance with your specific situation?

Our team offers free, completely confidential consultations to help you understand your options and find the best path forward.