Understand the Basics of Foreclosure Law
At The Law Offices of Justin McMurray, P.A., our real estate attorneys have more than a decade of experience helping individuals and families to fight to defend their homes against foreclosure, and in this time we have acquired invaluable first-hand knowledge of how Florida state law applies to this type of case. One thing is clear: Florida foreclosure law is generally favorable to the homeowner. Thanks to this, it is very often possible to stop a foreclosure that has already begun or even to avoid foreclosure entirely. Take the time now to brief yourself on the basics of real estate law as it applies to foreclosures in Ocala and statewide, and then contact our firm for a free consultation with an Ocala foreclosure defense attorney.
About Your Right of Redemption
At any time between the date when you miss your first mortgage payment and the date when the property is sold at a foreclosure sale, state law provides you with a right of redemption. In other words, you have the continuous opportunity to cure the mortgage and turn the entire situation around by paying the bank the payments you have missed, as well as any fees or penalties that may have been assessed.
Florida Is a Judicial Foreclosure State
In slightly more than half of states across the country, foreclosure is a private matter between the homeowner and the bank. The same is not true in Florida. State law requires that the bank carry out the full process of judicial foreclosure, which involves suing you in court for a foreclosure judgment. This means that your foreclosure will be a matter of public record, but it also gives you the opportunity to extend the foreclosure process considerably and to prepare an effective strategy for legal defense. Judicial foreclosure also gives the borrower a last-ditch opportunity to reverse the sale of the property: If it can be proven within 10 days after the date of sale that the bank violated the terms of the court order to foreclose, this can be used to prevent title from being conveyed to the new buyer.
Deficiency Judgments in Ocala Foreclosures
One aspect of state law which most certainly does not favor the homeowner is the fact that the lender has the right to sue for the deficiency if the sale of the property does not raise sufficient funds to pay off the loan balance. This is a serious concern for Florida homeowners, given that nearly half of all mortgages throughout the state are underwater, with the property worth less on the market than the homeowner owes on the loan.