There are several ways to stop a sheriff sale in New Jersey. As a right, the defendant can apply for a 28-day extension with the sheriff. This will only postpone the sale. There are other scenarios where it is possible to go to the judge with an emergent motion to stop the sale. An Order to Show Cause is a tool that allows a judge to make a decision the same day or set an expedited timeline to rule on the issue. This process can be used for almost all emergency matters.
If you are considering bankruptcy, both a chapter 13 and chapter 7 bankruptcy will stop the sale. However, if you have had a bankruptcy dismissed in the last 180 day or are barred from filing a bankruptcy you may have issues that need to be overcome.
Sheriff Sales in New Jersey will cause the home to be either sold to a third party at the auction, or the bank will become the owner at the auction. So if an adjournment of the sale is not possible, bankruptcy may be the only way to save your home.
A chapter 7 bankruptcy will only delay the process of the sale. And, if you have equity in your home the chapter 7 trustee may try to sell it to satisfy what you owe to all of your creditors.
A chapter 13 bankruptcy will allow you to begin a payment plan to pay back the arrearage (missed payments) on your loan to your bank or loan servicer and even request a Loan Modification in bankruptcy. If you have been turned down int he past, bankruptcy can give you another chance at the bank agreeing to loss mitigation options such as loan modification, deed-in-lieu of foreclosure, a short sale or regular sale if you have equity.