Short Sale Help — Queens, Brooklyn & Long Island
If you owe more on your mortgage than your home is worth, and you can no longer afford to stay, a short sale can help you walk away with your credit largely intact and avoid a foreclosure judgment on your record. Nitin Gadura negotiates short sales with lenders so you don't have to.
Your Rights Under NY Real Property Law §265-b
If you are facing foreclosure or loan default, New York law gives you important protections when working with a "distressed property consultant."
Gadura Real Estate, LLC acts solely as a licensed real estate broker — we list and market your property under a standard listing agreement. We are not a distressed-property consultant, loan-modification specialist, or foreclosure-rescue service. We do not take title to your home, collect fees before closing, or accept any power of attorney over your mortgage.
You have the following rights:
- Five-Day Right to Cancel. Any written consulting contract covered by §265-b may be cancelled within five business days without penalty. Cancellation must be in writing and delivered to the consultant.
- No Up-Front Fees. A distressed-property consultant may not collect any compensation until all promised services are fully performed.
- Written Contract Required. Any §265-b contract must be in your primary language, disclose all services and fees, and include a Notice of Cancellation in at least 14-point bold type.
- No Deed Transfers. Do not sign any document transferring title, deed, or power of attorney to a consultant as part of a "rescue" transaction. These arrangements are regulated under RPL §265-a and §265-b and are frequently fraudulent.
- Free Counseling. HUD-approved housing counseling is available at no cost: 1-800-569-4287 or hud.gov/counseling. New York residents may also call the NYS Attorney General's HOPP program at 1-855-466-3456.
Complaints: Suspected §265-b violations may be reported to the NYS Attorney General at ag.ny.gov/consumer-frauds or the NYS Department of State at dos.ny.gov/file-complaint.
Short sales are negotiated directly with your mortgage lender. Gadura Real Estate charges you no fee until closing; the seller's brokerage commission is paid from sale proceeds at closing and is subject to lender approval.
Nitin Gadura — Short Sale Listing Broker
Licensed NY State real estate professional · (917) 705-0132
No upfront fees to you. Lender negotiation. Hardship package assembly. Coordination with your foreclosure-defense attorney. Marketing built for the short-sale buyer pool that actually closes.
What a Short Sale Actually Is
A short sale is a sale of your home for less than the mortgage balance, approved by your lender. The lender accepts a discounted payoff in exchange for avoiding the cost and delay of foreclosure. Done right, it can:
- Avoid a foreclosure judgment on your credit
- Result in a written deficiency waiver — the lender agrees not to pursue the shortfall
- Allow you to move on a timeline rather than on the sheriff's
- In some cases, qualify for federal or state relocation assistance
How Nitin Runs a Short Sale
- Confidential intake — your situation, mortgage balance, arrears, any foreclosure notices received.
- Referral to foreclosure-defense counsel. If you already have one, Nitin coordinates. If you don't, he'll refer NY-licensed attorneys experienced in short sales.
- Listing at market-justified price with full MLS exposure and disclosure of short-sale status.
- Hardship package prepared for the lender: hardship letter, financials, tax returns, pay stubs, comparative market analysis.
- Lender negotiation on price, deficiency waiver, relocation assistance, and timeline.
- Closing coordination between lender, buyer, attorneys, and title.
New York Short Sale Specifics
- New York is a judicial foreclosure state — foreclosures must go through court, which buys time but isn't a cure [2].
- Mandatory settlement conferences (RPAPL §3408) give you a structured forum to negotiate with the lender while the short sale is pending [3].
- Deficiency judgments are possible in NY absent a written waiver — which is why negotiating the waiver as part of the short sale is critical.
- Federal Mortgage Forgiveness Debt Relief Act provisions and IRS Form 982 treatment may apply to forgiven debt — speak with your CPA [4].
What to Do If You've Already Received a Foreclosure Summons
Do not ignore it. You typically have 20–30 days to respond in NY State court. Answering preserves your rights in the mandatory settlement conference process [3]. Call Nitin and consult an attorney the same week you receive the summons.
Related Resources
- NY Real Property Law §265-b — Distressed Property Consultants: nysenate.gov
- NYS Unified Court System — Foreclosure Process: nycourts.gov
- NY RPAPL §3408 — Mandatory Settlement Conferences: nysenate.gov
- IRS Publication 4681 — Canceled Debts, Foreclosures: irs.gov
- U.S. Department of HUD — Avoiding Foreclosure: hud.gov
Informational only. Not legal, tax, or credit-counseling advice. Every homeowner facing foreclosure should consult a NY-licensed attorney and a HUD-approved housing counselor. Commissions negotiable. Equal Housing Opportunity. Nitin Gadura, Gadura Real Estate, LLC.