If your home was recently sold at a Florida foreclosure auction, you may be facing a difficult time. However, here’s some good news — this could be the beginning of a new opportunity for you. Florida law provides the potential for homeowners to recover surplus foreclosure funds after a property is sold at auction, which can be a valuable financial lifeline.
In Florida, surplus funds refer to any remaining funds after the foreclosure auction, once all disbursements required by the court's final judgment are paid. According to Florida Statute 45.032(c), surplus funds are defined as “the funds remaining after payment of all disbursements required by the final judgment of foreclosure and shown on the certificate of disbursements.” These funds are typically returned to the former homeowner, provided certain criteria are met.
Don’t Miss Out on Your Surplus Funds! Contact us at (888) 252-8754 today to find out how we can help you recover what’s rightfully yours! Hablamos español.
What Are Surplus Foreclosure Funds?
Here’s a simple example: If a foreclosure judgment of $50,000 is issued on your property, but the property is sold at auction for $100,000, there would be $50,000 in surplus funds. These funds could be yours to claim!
It’s important to note that Florida law presumes that the person who owned the property at the time the lis pendens (the official notice of foreclosure) was filed is entitled to claim these surplus funds.
How Can You Find Out if There Are Surplus Funds in Your Case?
The next step is determining whether you’re entitled to claim any surplus funds from your foreclosure. Here’s how to do it:
Contact Your County’s Clerk of Court: They will have information regarding the surplus funds associated with your foreclosure case. You can visit your county’s Clerk of Court Foreclosure Department in person or contact them directly.
Check Online: You can also visit the Clerk of Court’s website, where most counties post case information online. Look up your foreclosure case and review the Certificate of Disbursements to see if there are surplus funds in the registry.
Once you confirm that surplus funds are available, it’s time to take action. Consulting with an experienced Florida attorney specializing in foreclosure surplus funds can be your best option to ensure you recover what you’re entitled to.
Don’t Get Caught by Third-Party Recovery Companies
Many homeowners are contacted by third-party companies promising to help recover surplus funds, but be cautious. Avoid signing anything until you speak with an attorney who can provide trustworthy guidance. The right attorney can help you navigate the process and avoid costly mistakes.
How Long Do You Have to Claim Surplus Funds After a Foreclosure Auction in Florida?
Once you determine that surplus funds are available after your Florida foreclosure auction, it’s essential to act quickly. Under Florida law, you have a specific time frame to claim these funds. Generally, you must file a claim within one year from the date the foreclosure sale took place. If you don’t submit your claim within this period, the surplus funds could potentially be forfeited or become difficult to recover.
This timeline is critical because, after the foreclosure auction, the Clerk of Court will hold the surplus funds in trust for the rightful owner. While the funds are being held, the Clerk’s office typically sends out notifications to the former homeowner and any lienholders regarding the surplus. However, if you don’t respond to these notifications or fail to act in time, you could lose your opportunity to claim what’s rightfully yours.
To avoid missing out, it’s recommended to consult with a Florida foreclosure attorney as soon as possible after your property is sold at auction. An experienced attorney can help you file your claim correctly and ensure you meet all deadlines. They can also provide guidance on the documentation you’ll need to present to the Clerk’s office to prove your entitlement to the funds. Don’t risk losing out on potentially significant amounts of money that could help you recover from the financial challenges of foreclosure.
What Happens if Multiple People Are Entitled to the Surplus Funds?
In some cases, more than one person may be entitled to the surplus funds following a Florida foreclosure auction. For example, a property may have multiple owners listed on the title, or there may be lienholders or other parties who have a legal claim to the funds. So, what happens when this occurs?
Florida law provides a clear process for handling situations where multiple parties claim entitlement to surplus funds. The Clerk of Court will typically hold the funds in escrow until the rightful claimants are identified and their rights are confirmed. If there are disputes between multiple parties, the matter may need to be resolved through legal action.
It’s important to note that while the former homeowner is often entitled to surplus funds, other parties such as second mortgage holders, lienholders, or even tenants may also have valid claims. In these cases, it’s crucial to work with an attorney who is well-versed in foreclosure law and surplus fund recovery. They can help you navigate the complexities of these claims and represent your interests effectively.
In some cases, you might need to negotiate with other claimants or even go to court to assert your right to the surplus funds. An experienced attorney will guide you through this process, ensuring that you take the right steps to secure your fair share of the funds.
Take Action Today
If you’re unsure whether surplus funds are available for you, or if you’ve already been notified of funds available after your Florida foreclosure auction, don’t wait. Reach out today for a free consultation. We’ll review your case, confirm whether surplus funds are available, and provide a strategy to recover those funds.
At Haynes Law Group, P.A., we are experts in helping Florida homeowners recover surplus foreclosure funds. Our experienced attorneys have recovered millions of dollars for homeowners throughout the state. We pride ourselves on offering personalized, results-driven services and will work tirelessly to get you the compensation you deserve.
Ready to Claim Your Surplus Funds? Contact us for legal guidance now. Reach us at (888) 252-8754 for a no-cost consultation! Hablamos español.