Foreclosure can be a devastating – and lasting – experience for any homeowner. Foreclosures typically remain on credit reports for seven years.
Understanding the implications of foreclosure and the legal options available to you can help you make informed decisions for your future.
What Is a Foreclosure?
When a borrower fails to make their mortgage payments, their lender can seize and sell the property to recover the outstanding debt in a process called foreclosure. Florida requires judicial foreclosure. In this process, the lender files a lawsuit against the borrower, and the court supervises the foreclosure.
How Long Will a Foreclosure Stay on My Credit Report?
A foreclosure can have a significant impact on your credit score. It will typically remain on your credit report for seven years. This negative mark can make it difficult to apply for new loans or lines of credit during that time. However, as time passes, the effects the foreclosure has on your credit score will gradually diminish. Responsible financial behavior can also help you rebuild your credit.
What Legal Protections Exist Against Foreclosure?
The Fair Foreclosure Act offers several legal protections to homeowners facing foreclosure in Florida. These include:
- Verification of Complaint – Lenders must verify the accuracy of the information in foreclosure complaints. These complaints must be signed, under penalty of perjury, confirming that the lender has reviewed the relevant documents for accuracy.
- Notice of Default – Lenders must provide borrowers with written notices of default, specifying the nature of their defaults, the amounts owed, and the deadlines by which borrowers can cure the defaults to avoid foreclosure.
- Right to Cure – Borrowers have the right to cure their defaults and reinstate their mortgages by paying delinquent amounts, along with any fees and costs, before foreclosure sales.
- Mediation – Some Florida jurisdictions have mediation programs that allow borrowers and lenders to participate in mediation sessions, in which they can explore alternatives to foreclosure, such as loan modifications, repayment plans, or short sales.
- Right to Contest – The Act also allows borrowers to contest foreclosures in court, which could include raising defenses based on things like predatory lending practices, violations of state or federal consumer protection laws, or other procedural irregularities.
How Can an Attorney Help If I’m Facing Foreclosure?
The experienced foreclosure defense attorneys at Loan Lawyers can protect your rights and keep the foreclosure process fair and lawful. They can evaluate your situation, help you explore alternatives to foreclosure, and represent you in court if necessary.
Loan Lawyers is a battle-proven litigation and trial law firm with a track record of success handling consumer debt and foreclosure cases. We have more than 100 years of combined legal experience and have helped thousands of clients achieve favorable outcomes in their foreclosure cases. Let us put what we’ve learned to work for you, too.
Contact Loan Lawyers Today
The Florida foreclosure defense lawyers at Loan Lawyers have eliminated more than $100 million in debt and mortgage principal for our clients and recovered more than $25 million from negligent and fraudulent credit card companies, banks, and debt collectors. Our satisfied clients have left us more than 500 five-star reviews and positive testimonials.
Contact our Fort Lauderdale foreclosure defense lawyer today to find out why in a free initial consultation.
- About the Author
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Matis Abarbanel is the founding partner and senior attorney at Loan Lawyers in South Florida. He focuses his practice on consumer rights, helping homeowners navigate issues such as foreclosure and financial hardship. Matis also brings a wealth of experience from his previous work in personal injury law. As a devout Chasidic Jew, he is committed to making a positive impact in his community and dedicates his efforts to charitable initiatives through his non-profit organization, The Center, which aids at-risk Jewish youth. Matis actively serves clients across South Florida and is passionate about empowering individuals to secure their rights and achieve a better future.
