If you are a homeowner in Monroe County who has fallen behind on mortgage payments, you are not alone. Hundreds of families in Stroudsburg, East Stroudsburg, Mount Pocono, Tobyhanna, and surrounding communities face this same situation every year. The good news is that Pennsylvania law gives you real options to stop foreclosure — but only if you act quickly.
This guide walks you through every option available to you as a Monroe County homeowner, from court-ordered mediation programs to cash offers that can close in weeks. We wrote it because we have seen too many families lose their homes simply because they did not know what they were entitled to.
Time is your most valuable asset right now.
Every day that passes without action reduces your options. If you are reading this, call (570) 435-7752 for a free, confidential conversation about your specific situation. There is zero cost and zero obligation.
Understanding Foreclosure in Monroe County
Monroe County is part of Pennsylvania's judicial foreclosure system. That means your lender cannot simply take your house. They must file a lawsuit in the Monroe County Court of Common Pleas, and a judge must approve every step. This process takes time — typically 6 to 18 months from the first missed payment to a sheriff sale — and that time is your opportunity.
The Monroe County Courthouse, located at 610 Monroe Street in Stroudsburg, is where all foreclosure actions are filed. Sheriff sales are conducted by the Monroe County Sheriff's Office and are typically scheduled on a monthly basis. But here is what most people do not realize: you have options at every single stage of the process, even after a sheriff sale is scheduled.
The Monroe County Mortgage Foreclosure Diversion Program
One of the most powerful tools available to you is the Monroe County Mortgage Foreclosure Diversion Program. This is a court-ordered mediation program that requires your lender to sit down with you — or your representative — and negotiate in good faith before the foreclosure can move forward.
Here is how it works:
- When a foreclosure complaint is filed against you in Monroe County, the court automatically refers your case to the Diversion Program.
- A housing counselor is assigned to help you review your finances and prepare for mediation.
- A conciliation conference is scheduled where you, your lender, and a neutral mediator discuss alternatives to foreclosure.
- The foreclosure process is paused during this mediation — buying you critical time.
Key takeaway: You must participate in this program. If you ignore the court notices, the program cannot help you and the foreclosure will proceed. Show up, engage, and bring all your financial documents.
Step by Step: What to Do When You Fall Behind
Do not ignore the letters.
When your lender sends notices, open them. Each one contains deadlines that affect your rights. Ignoring them does not make the problem go away — it makes it worse.
Respond to your Act 91 Notice immediately.
Before a Pennsylvania lender can file for foreclosure, they must send you an Act 91 Notice. This gives you 30 days to contact a HUD-approved housing counselor and apply for the Homeowners' Emergency Mortgage Assistance Program (HEMAP). This 30-day window is critical — do not let it pass.
Contact a housing counselor or call us.
A HUD-approved housing counselor will help you understand your options and can communicate with your lender on your behalf. Or call PA Property Rescue at (570) 435-7752 — we will help you understand every path available and connect you with the right professionals.
Gather your financial documents.
No matter which option you pursue, you will need: recent pay stubs, two years of tax returns, bank statements, your mortgage statement, and a written explanation of your hardship. Having these ready speeds up everything.
Choose the right option for your situation.
There is no one-size-fits-all answer. The right choice depends on your income, your equity, your goals, and how far along the foreclosure process has gone.
Your Options to Stop Foreclosure
Loan Modification
If you want to keep your home and have stable income, a loan modification may be the best path. Your lender adjusts your interest rate, extends your loan term, or reduces your monthly payment to make it affordable. We connect Monroe County homeowners with experienced attorneys who handle the entire process.
Short Sale
If you owe more than your home is worth — common in parts of Tobyhanna, Mount Pocono, and the greater Poconos — a short sale allows you to sell for less than the mortgage balance. The bank forgives the difference. This does far less damage to your credit than a foreclosure and in many cases the bank provides relocation assistance money.
Cash Offer
If you have equity in your home and need to move fast, our investor network can make a competitive cash offer. Closings can happen in as little as two to four weeks. You walk away with money in your pocket and no lingering debt.
Deed in Lieu of Foreclosure
With a deed in lieu, you voluntarily transfer the property to your lender. In exchange, they release you from the mortgage. It is less damaging to your credit than a foreclosure and avoids the public nature of a sheriff sale.
Bankruptcy
Filing Chapter 13 bankruptcy triggers an automatic stay that immediately stops foreclosure proceedings. It gives you time to catch up on missed payments through a court-approved repayment plan. This is a serious step and requires an attorney, but it is a legitimate tool when other options are not available.
Local Resources for Monroe County Homeowners
- Monroe County Courthouse: 610 Monroe Street, Stroudsburg, PA 18360 — Prothonotary's office for case information.
- Monroe County Sheriff's Office: Handles sheriff sale scheduling and execution. Sales are typically held monthly.
- Pocono Alliance: Local HUD-approved housing counseling agency serving Monroe County residents with free advice.
- Northampton County Legal Aid: Serves Monroe County residents and provides free legal assistance for qualifying homeowners.
How PA Property Rescue Helps Monroe County Homeowners
We are not a bank. We are not a law firm. We are a local team that has been helping families in Stroudsburg, East Stroudsburg, Mount Pocono, Tobyhanna, Tannersville, Bartonsville, and throughout Monroe County since 2019. We know the courthouse, we know the process, and we know how scary this feels.
Here is what we do that nobody else does: we stay with you through the entire process. From the first phone call to your fresh start. We help you understand your options, connect you with the right professionals, negotiate with your bank, coordinate your move, and even provide guidance on rebuilding your credit afterward.
Every situation is different. Maybe you want to keep your home and a loan modification makes sense. Maybe the best thing for your family is to walk away clean with a short sale. Maybe you need a fast cash offer because the sheriff sale is three weeks away. Whatever your situation, we will give you an honest assessment — not a sales pitch.
You still have options. Let us help you find the right one.
Every consultation is free, confidential, and comes with zero obligation. We have helped hundreds of Monroe County families — and we can help you too.