Bad news for owners making a claim for surplus funds. Starting July 1, 2019, there will no longer be a 60-day deadline after the foreclosure sale for a subordinate lien holder to make their surplus funds claim. In fact, that deadline is being extended to one year.
House Bill 1361 was signed by the Florida Governor which amends Florida Statute 45.032 changing the timeline for claims to be made, as well as eliminating surplus trustees.
This clearly helps banks and severally hurts homeowners. Let me tell you why.
First off, the statute was amended back in 2014 to apply the 60 day deadline. This was done to HELP homeowners. How did this timeline help a homeowner? The homeowner that was just foreclosed on needs to move on with their life. If there is equity in the property, there should be a surplus of funds. So once the eviction process is complete, the homeowner needs funds to go purchase another property or rent somewhere else. The 60 day deadline was a swift and efficient method to let a homeowner get back on their feet. Now, a homeowner will have to wait an entire year to get any surplus funds if there are any subordinate lien holders.
Also, the elimination of surplus trustees really doesn’t do much for former owners. At first, I was excited because I thought this would eliminate the surplus trustee companies. It doesn’t. These companies still exist and the voluntary transfer language in Florida Statute 45.033 is still included. All this means is that there will be even less regulation for these terrible surplus recovery companies.
Former owners, this does not mean that you won’t be able to collect surplus funds. I have plans formulated to help combat this awful amendment. This will take even more strategy and more patience, but it can still be done!
Lastly, I could not be more disappointed in the Florida legislation for pushing this amendment through. It hurts homeowners and helps lazy banks and HOAs that aren’t diligent and timely. Worse, it will further promote fraud on behalf of surplus recovery companies.
With this amendment, it will be even more essential for a former owner to hire a great foreclosure surplus funds lawyer. DO NOT assign away your rights!
If you have a foreclosure surplus case, please feel free to call me directly. I will personally answer and give you a free consultation.
Whether you are looking for an Orlando foreclosure surplus collection lawyer, Palm Beach foreclosure surplus collection lawyer, Tampa foreclosure surplus collection lawyer, Pasco County foreclosure surplus collection lawyer, Jacksonville Florida foreclosure surplus collection lawyer, Walton beach foreclosure surplus collection lawyer, Daytona beach foreclosure surplus collection lawyer, Miami foreclosure surplus collection lawyer, Fort Lauderdale foreclosure surplus collection lawyer, Sarasota foreclosure surplus collection lawyer, Fort Myers beach foreclosure surplus collection lawyer, Miami Beach foreclosure surplus collection lawyer, West Palm Beach foreclosure surplus collection lawyer, Kissimmee foreclosure surplus collection lawyer, Lakeland foreclosure surplus collection lawyer, Clearwater foreclosure surplus collection lawyer, Melbourne foreclosure surplus collection lawyer, or a Pinellas County foreclosure surplus collection lawyer, we will represent parties in any county in the state of Florida!