The Foreclosure Has Started, Can We Still Sell Our House?
This week we answer another great question from a podcast listener, and one that we’ve answered briefly in other episodes of the Crushing Debt Podcast. This question comes from a listener in Miami, FL, who asks if she can sell her house after receiving an offer for more than what she owes, even though the foreclosure lawsuit was filed by the bank.
The simple answer is “yes” with two other considerations. First, make sure the closing is prior to any foreclosure sale, with enough time for the title company to wire the pay off amount to the lender. Second, make sure the pay off is ordered from the lender’s attorney, instead of the lender directly.
Pursuant to Florida Statute, section 45.0315, the homeowner has the right to redeem the property at any time before the filing of a certificate of sale by the clerk of the court or the time specified in the judgment of foreclosure, whichever is later. The Certificate of Sale signifies that the foreclosure auction is completed. In addition to the homeowner, any junior liens, like second mortgages, judgment liens, etc. can also redeem the property. Redeeming the property means paying off the bank in full.
Most people confuse the right of redemption with the right to object to the foreclosure sale. The clerk issues the title to the successful foreclosure bidder 10 days after the foreclosure sale. The homeowner has the ability to object to the foreclosure sale within those 10 days, but the statute is clear that the right to redeem expires when the sale is completed. Accordingly, there is no right to redeem after the foreclosure sale (unless the homeowner prevails on an objection to the sale first).
For more information on Foreclosures, please subscribe to the Crushing Debt Podcast, on iTunes, Stitcher and GooglePlay. If you prefer, please contact us to schedule a free initial consultation to discuss your options at 813-774-5737 or email me directly at firstname.lastname@example.org.
Shawn M. Yesner, Esq., is the host of the Crushing Debt Podcast and founder of Yesner Law, P.L., a Tampa-based boutique real estate and consumer law firm that helps clients eliminate the financial bullies in their lives. We assist clients with asset protection, the sale and purchase of real property, Chapter 7 liquidation, Chapter 13 reorganization, bankruptcy, foreclosure defense, debt settlement, landlord/tenant issues, short sales, and loan modifications in Tampa, Westchase, Odessa, Oldsmar, Palm Harbor, Clearwater, Pinellas Park, Largo, St. Petersburg, and throughout the greater Tampa Bay area.