When you face the prospect of foreclosure, it’s important to understand your rights.
Not only will it help you move forward, but it can also help ease a great deal of anxiety.
When You’re Served Foreclosure Court Papers
If a lender starts a foreclosure lawsuit against you, you’ll receive court papers. Typically, the sheriff will hand over a summons, an order to show cause, and the complaint.
You have 20 days from the date you receive the papers to respond. It is also up to the bank or lender to certify to the court that it is in possession of an original note before it can file a case of foreclosure against you. Alternatively, they’ll need to admit to losing the note.
The Law Is In Your Favor
If times are tough and you’ve defaulted on your loan, the lender has the right to enforce a lien and foreclose on your property. But our state’s real estate laws favor homeowners.
With a knowledgeable foreclosure lawyer on your side, you can build a strong case against the lender’s attempt to take repossession of your property.
Understanding Right of Redemption
Even after a lender or bank files a foreclosure suit against you, Florida residents have the right of redemption. This provides you the opportunity to cure the mortgage and catch up on payments along with any outstanding fees.
When you exercise your right of redemption, you have the chance to stop a foreclosure before it can happen. In the event that this is impossible, and the lender proceeds to sell your property, you still have one last chance to turn things around.
By law, the lender must follow the court order’s terms for the foreclosure. If you’re able to provide proof that the lender has violated the order, you may be able to recover your property. You’ll need to do this within 10 days before the property’s title is transferred to a new buyer.
In order to redeem your property, you need to pay everything that’s owed on the mortgage along with court costs and attorney fees. If you’re able to do this, you might be able to stop the foreclosure.
You Have Options
Besides the right of redemption, you do have other options during foreclosure. For instance, you might want to put your property up for sale. It could be an easy way for you to get back the equity you have in the property.
Another option is to deed the house back to your mortgage company or bank. To do this, you’ll need to discuss your options with the attorney that represents the lender.
You also have the right to file for bankruptcy, if you prefer. If your household does have a steady source of income, filing for bankruptcy may help save your property.
Alternatively, you could consider the deed in lieu, also called the cash for keys program. In this case, the bank has the right to repossess the property if you’re unable to make house payments, in exchange for all the involved moving expenses.
The Next Step
Once you have filed your original answer to the foreclosure court papers, the court will let you know of all hearings so you can move forward with your defense. It’s important to make copies of your answer. The original is filed with the court clerk. Be sure to read the summons carefully so you know which court the lawsuit was filed at. You’ll also need to mail a copy of the answer to the lender’s attorney.
Whether times are tough, or you want to fight for your property, Florida law may be in your favor. That’s why it’s important to consult with an experienced foreclosure attorney who will advise of your rights and help you proceed with your case.
Contact Principal Law Firm today for assistance with your foreclosure case.
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