In our previous post, we started discussing how truly intimidating it can be when past due notices from a mortgage lender start appearing in your mailbox with greater frequency and you're left wondering whether the foreclosure process will be initiated.
In recognition of this reality, we started to provide some general information about how the foreclosure process in Florida works. To reiterate, the purpose here is not to cause unnecessary anxiety for distressed homeowners, but rather to debunk any misperceptions and impress upon them why it's so crucial to consider consulting with an experienced legal professional.
In today's post, we'll continue this discussion, examining how the foreclosure sale typically unfolds.
If the court rules against the homeowner, do they have any recourse for stopping the foreclosure?
The homeowner has up until the date of the home sale to pay the total amount due to the mortgage lender. This action will serve to stop the foreclosure.
When is the home sale held?
In general, the home sale -- or auction -- will take place anywhere from 20 to 35 days after the ruling of the court. A notice of sale will be published once a week for two weeks, with the second notice going out a minimum of five days prior to the auction date.
This sales notice outlines such information as the time, date and location of the auction, which is typically held at the county courthouse at 11 a.m. on the designated date.
What happens once the auction is over?
Upon completion of the auction, the high bidder must pay the clerk of court a 5 percent deposit and remit the remainder of the purchase price by the end of the day. Failure to do this will result in the scheduling of a new auction in at least 20 days.
If the high bidder complies with these conditions, they will be given a certificate of sale by the clerk of court.
Is this effectively the end of the matter?
As far as the original homeowner is concerned, they forfeit the right of redemption -- the right to get their home back -- following the high bidder's receipt of the certificate of sale.
As far as the high bidder is concerned, ownership will be transferred to their name if no legal disputes concerning the home arise within ten days of the sale.