How to Stop Foreclosure in California: Your Legal Options Explained

Falling behind on mortgage payments can feel terrifying — especially in the San Francisco Bay Area, where a home is often a family’s biggest investment and a foundation for daily life. If you’ve received a Notice of Default, a Notice of Trustee Sale, or even just warning calls from your mortgage servicer, you still have options.

California foreclosure moves fast because most cases are non-judicial, meaning lenders don’t have to file a lawsuit to foreclose. But they do have to follow strict rules and timelines, and homeowners have important legal rights along the way.

This guide explains the most effective ways to stop or delay foreclosure in California — and how The Law Office of Eric Gravel helps Bay Area homeowners protect their houses, their finances, and their peace of mind.



First, Know the Basics of California Foreclosure

Most California foreclosures happen outside of court under a deed of trust. The process typically includes:

1. Missed payments and late notices
2. Notice of Default (NOD) recorded with the county
3. Waiting period (at least 90 days after the NOD before the next major step)
4. Notice of Trustee Sale (NOTS) posted/mailed and recorded
5. Trustee sale (auction) if the loan isn’t cured

Recent legal commentary notes that, once an NOD is recorded, foreclosure can move in just a few months if no action is taken — so timing matters. wslaw.com+1

If you’re in the Bay Area (San Francisco, Oakland, Berkeley, Alameda, San Mateo, Walnut Creek, Richmond, and nearby cities), The Law Office of Eric Gravel can review where you are in the timeline and tell you what options are realistically available right now.

Option 1: Reinstate the Mortgage (Catch Up Before the Sale)

In many cases, you can stop foreclosure by reinstating the loan — meaning you pay the past-due amount (plus fees) to bring the mortgage current. California’s non-judicial process includes a reinstatement period before the sale.

This can work well if:

• Your hardship was temporary (job gap, medical event, etc.)
• You can access funds through savings or family help
• You only need to catch up a few months

Even when reinstatement is possible, lenders sometimes misapply payments or add improper fees. Attorney Eric J. Gravel can step in to make sure the numbers and deadlines are handled correctly.

Option 2: Loan Modification or Loss Mitigation

A loan modification changes the terms of your mortgage to create a more affordable payment. California law requires servicers to notify homeowners about foreclosure-prevention options and make a real effort to connect before pushing forward.

California’s Homeowner Bill of Rights (HBOR) adds strong protections here, including:

• No “dual tracking” — the servicer generally can’t move ahead with foreclosure while a complete loan-mod application is under review
• A single point of contact for foreclosure-prevention communication
• Clear notice and appeal steps if a modification is denied

Loan modifications can be powerful, but they’re paperwork-heavy and deadline-sensitive. The Law Office of Eric Gravel helps Bay Area homeowners submit strong applications and holds servicers accountable to HBOR rules.

Option 3: Forbearance or Repayment Plan

If your hardship is short-term, a lender may offer:

• Forbearance: temporarily reduced or paused payments
• Repayment plan: spreading missed payments over future months

These programs can stop foreclosure if approved and followed properly. HBOR and federal servicing rules require the lender to consider loss-mitigation options in good faith.

Eric Gravel regularly helps clients evaluate whether these offers are fair — and whether a better legal option is available.

Option 4: Refinance (When It’s Still Possible)

Refinancing replaces your current mortgage with a new loan. It can stop foreclosure if you’re still early in default and qualify.

Refinance may help if:

• You have enough equity
• Your credit hasn’t dropped too far
• Your income supports the new payment

Because foreclosure timelines can tighten quickly once an NOD is recorded, refinance has to be pursued early. The Law Office of Eric Gravel can tell you if this option is realistic based on where you are in the process.

Option 5: Sell the Home Before the Auction

Sometimes the strongest move is to sell on your terms instead of waiting for a trustee sale.

Two common routes:

• Traditional sale: if equity is strong enough to pay off the loan
• Short sale: if the lender agrees to accept less than what’s owed

Selling can stop foreclosure and reduce long-term credit damage. A foreclosure defense lawyer can coordinate timing with your servicer to keep the sale on track before the auction date.

Option 6: Deed in Lieu of Foreclosure

A deed in lieu is when you voluntarily transfer the home back to the lender to avoid foreclosure. It’s not right for everyone (especially if there are second liens), but it can be a cleaner exit when keeping the home isn’t possible.

The Law Office of Eric Gravel can help you weigh whether a deed in lieu is safer than letting foreclosure proceed.

Option 7: Bankruptcy to Stop Foreclosure

Bankruptcy is one of the most effective tools to stop foreclosure immediately, because filing triggers the automatic stay — a federal court order that halts foreclosure activity right away.

Chapter 13 Bankruptcy (often best for saving a home)

Chapter 13 can stop the sale and give you 3–5 years to catch up on missed mortgage payments through a court-approved plan.

Chapter 7 Bankruptcy (temporary stop in many cases)

Chapter 7 also triggers the automatic stay, but if you’re behind and can’t catch up, the lender may ask the court for permission to continue foreclosure. Law

The Law Office of Eric Gravel helps Bay Area homeowners decide whether Chapter 13, Chapter 7, or another solution fits their goals — and files quickly when time is tight.

Option 8: Foreclosure Defense Lawsuit (When the Lender Breaks the Rules)

If your servicer violates HBOR or makes serious errors, legal action may stop the process. Common issues include:

• Moving forward while a complete loan-mod application is pending (dual tracking)
• Failing to provide a single point of contact
• Incorrect fees, accounting errors, or notice problems
• Wrongful foreclosure practices

In these cases, your attorney may seek a temporary restraining order (TRO) or injunction to pause the sale while violations are addressed.

Attorney Eric Gravel evaluates lender conduct carefully and uses every available legal tool to protect Bay Area homeowners.

Why Acting Early Makes a Big Difference

The earlier you get help, the more options you usually have. Once the trustee sale happens, getting the home back is extremely difficult.

Even if you’re only a month or two behind, talking with a foreclosure defense lawyer now can prevent the situation from escalating.

How The Law Office of Eric Gravel Helps Bay Area Homeowners

Facing foreclosure isn’t just a legal process — it’s personal. Your home is where your life happens. The Law Office of Eric Gravel supports clients across the San Francisco Bay Area by:

• Reviewing your foreclosure timeline and notices
• Explaining every option in plain English
• Negotiating with lenders and servicers
• Enforcing HBOR and other homeowner protections
• Filing emergency bankruptcy cases when needed
• Building a strategy focused on keeping your home whenever possible

From San Francisco to Oakland, Berkeley to San Mateo, and beyond, Eric Gravel is committed to standing by homeowners during one of the hardest financial moments they’ll ever face.

Talk to a Foreclosure Defense Lawyer Today

If you’re asking how to stop foreclosure in California, the most important step is getting a clear plan before deadlines close in.

Call The Law Office of Eric Gravel at 415-843-7454 or visit bklegalaid.com to schedule a consultation.
You have rights. You have options. And you don’t have to face this alone.