Many people are aware that, in 2013, the Florida legislature shortened the period within which a lender must start a suit for the mortgage deficiency from five years to one year. What is a 'mortgage deficiency?' This is essentially defined as the amount a court determines is the difference between the value of the real property at the time it is sold and conveyed by the Clerk after the entry of foreclosure judgment and the total amount owed on the mortgage at that time.
Yes, the November 2016 ruling in Bartram versus U.S. Bank N.A. will have far reaching consequences. Of course, every ruling from every state's highest tribunal is always noteworthy and weighty, with Florida hardly being excepted.
When you find yourself facing a lawsuit, emails exchanged with the other side in the run up to the real estate dispute can be powerful evidence. Visit my website for more on real estate disputes and lawsuits: http://www.celiadeifik.com/real-estate-purchase-and-sale-contract-disputes/
There are 2 major, but conflicting, important Florida court rulings on this point.
Foreclosure Defense issue: Imagine a scenario in which a mortgage lender indicates that it is planning to bring a foreclosure action after you allegedly defaulted on your mortgage payments for a five-month period.
Florida courts recognize that you are entitled to a notice letter AND that the letter must contain very specific information shared in plain English. Those notification requirements are part of your standard mortgage contract, also known as FNMA and Freddie Mac uniform instruments.
You walk to the mailbox and there it is: a letter from the mortgage company showing what you already know. You are behind on payments and face foreclosure. This is an overwhelming time, but you signed a mortgage contract that includes important provisions that may allow you to stay in your home.
Recent foreclosure decisions are keeping banks accountable and allowing homeowners to stay in their home.