Can I reclaim my Florida house if it goes into foreclosure?

In Florida, you can only redeem your house (and so get it back) before the foreclosure is official.

Question

I own and have lived in a house in Florida for many years. I went through a divorce about a year ago. My mortgage subsequently went behind since my husband ceased paying to the installments. The home is now under foreclosure. I want to keep my house and am wondering if there is any chance I can get it back after the foreclosure. I was just promoted at work and received a raise in pay. I heard that even if I lose the house to foreclosure, I may “redeem” it. Is this correct?

Answer

No, you cannot reclaim the house once the foreclosure is completed. However, you have until the later of when the court clerk files the certificate of sale or the period indicated in the foreclosure decision to pay off the whole outstanding debt and retain the residence. This procedure is known as “redeeming” the house and is detailed in further detail below.

When Can You Redeem Your Florida Foreclosure?

Foreclosures in Florida are judicial, which means that the lender files a case in court to foreclose on your house. According to Florida law, the court clerk is required to submit a certificate of sale within one day following the foreclosure sale. 45.031(4) (Fla. Stat. Ann.).

You may redeem the house at any time before the later of the following dates:

when the clerk files the certificate of sale, or when the foreclosure judgment, order, or decree expires. 45.0315 (Fla. Stat. Ann.)

The court will send you a copy of the foreclosure judgment. The decision will usually say that your right to redeem expires when the clerk files the certificate of sale. You will not be able to reclaim your home after this period.

How Much Will You Have to Pay to Redeem Your House?

To redeem, you must pay the whole amount of the outstanding debt, including interest, lawyers’ fees, and charges, as mentioned in the judgment, order, or decree. 45.0315 (Fla. Stat. Ann.) If you desire to redeem but no foreclosure judgment, order, or decree has been issued, you may pay the entire amount owing under the terms of the mortgage plus foreclosure charges.

Check with the court or a Florida attorney to learn the particular steps for redeeming your house.

Take Action as Soon as Possible to Save Your Home

If you wish to stay in the residence, you may have other alternatives than redeeming the property. As an example:

Your lender (or the terms of your mortgage contract) may allow you to pay off the past-due amounts in order to reinstate (catch up on) the loan, or you can apply for a foreclosure alternative that will allow you to keep the property, such as a mortgage modification, forbearance agreement, or repayment plan.

You may be eligible for a mortgage modification or repayment plan because you went through a divorce, which normally qualifies as a hardship (one of the requirements to qualify for an alternative to foreclosure), and have a good job (which may show that you can afford a modified monthly mortgage payment).

The Florida foreclosure procedure may take a year or more to complete, but you should still look into alternatives to foreclosure long before the sale since the loss mitigation process can be lengthy.

Discovering Florida’s Redemption Statute

Go to Title VI, Chapter 45 of the Florida Statutes to locate the legislation that explains your ability to redeem the house in a foreclosure in Florida.