How Are the New Foreclosure Laws Impacting Florida?

foreclosure laws

Florida topped the list of everything negative pertaining to the housing bubble: mortgage fraud, foreclosures and lengthy court waits for foreclosure proceedings.

This has spelled more turbulence in the housing market, a lingering property value recovery, and uncertainty for homeowners.

The average foreclosure time in Clearwater and most of Florida is almost two and a half years.

Florida passed House Bill 87, referred to as the Florida Fair Foreclosure Act last year. Governor Rick Scott signed it with the intent to speed up the foreclosure court proceeding.

Florida still has the largest backlog of foreclosed properties in the country and one of the longest times to foreclosure.

The dockets in foreclosure courts in Hillsborough, Miami-Dade and Broward counties are full. Numerous special judicial appointments were made to hear the backlog of cases with some judges hearing over 50 cases a day.

Opinions of the Florida foreclosure law have been mixed. The law aims to speed up the foreclosure process, now any lien holder can request a more rapid trial process giving the homeowner less time to attempt a short sale or negotiate a loan modification.

It also makes the foreclosure lawsuit final, any attempt to set aside or challenge the final judgment is reduced to financial damages.

Even if the case was fraudulent, the foreclosure judgment still holds if the lender meets a few stipulations.

A victim of a fraudulent foreclosure in Tampa or anywhere in Florida will not get their home back if: the homeowner was properly served, the final judgment was entered, the appeals time has run out and the home was purchased by someone not related to the lender or former homeowner.

The law does benefit Tampa homeowners facing foreclosure by requiring lenders to produce the original promissory note.

It also reduces the statute of limitations of a deficiency judgment from 5 years to 1 year.

Hiring a foreclosure lawyer in Tampa when faced with a pending lawsuit can shed light on your options.

If you want to fight the foreclosure, the Foreclosure Attorneys at FL Legal Group can:

  • Create a foreclosure defense
  • Negotiate with the Lender for a loan modification
  • Work on a short sale or deed in lieu of foreclosure
  • Negotiate with homeowners associations and condo associations with liens against your property

If you want to proceed with the foreclosure, the Foreclosure Lawyers at FL Legal Group can:

  • Negotiate the deficiency judgment to reduce the amount that you owe.
  • Explain bankruptcy options for debt relief.

Facing a foreclosure? Contact FL Legal Group’s attorneys so they can provide solutions to help you navigate through the foreclosure process.

800-984-9951 or click here to send us a message.

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