The global recession has had an impact on every one of us. While the economy is showing small signs of improvement, problems still remain. When the economy collapsed, it hit the housing market especially hard. Florida was one of the states that saw foreclosure rates skyrocket. Homeowners statewide were hit with mortgage payments that they could not afford, and home values dropped substantially.
The foreclosure process in Florida provided some protection to those who were struggling to make ends meet. Banks and lenders had to follow specific requirements before a foreclosure would be final. Florida foreclosures must proceed through the courts, but a new law has been proposed which would drastically impact struggling homeowners.
Florida legislators have introduced legislation that would completely remove the foreclosure process from the courts. Under the new law, banks or mortgage lenders would need to notify the homeowner of the pending foreclosure. The foreclosure would then proceed, and could be finished in a range from 90 days to one year, depending upon the circumstances.
Legislators have introduced several efforts throughout the years aimed at removing foreclosures from the courts. Due to the high number of foreclosures within the state, it can take years before the bank or lender will have their property returned. They argue that this long wait restricts their ability to sell the property to another subsequent buyer.
Proponents of the law also state that homeowners have the option of filing the foreclosure in court, but if the homeowner pursues this avenue, it can cost a considerable amount of money. For homeowners in financial trouble, this is not a realistic option.
Critics contend that this law would not provide any benefits to homeowners. There have been several news stories highlighting questionable, if not illegal, practices being used by banks and lenders to evict people from their homes. Removing the foreclosure process from the courts leaves the homeowners unprotected from these tactics.
If you are having trouble making your monthly mortgage payment, contact an experienced attorney in your area to understand the options available to you. Do not wait until you receive notice of a foreclosure, as this could jeopardize your ability to stay in your home.
