Help for Foreclosure
Foreclosure is when mortgage payments are no longer being made, and so the lender forces the sale of a home. The loss of a home is devastating. The stress of facing foreclosure causes some people to stop making their payments altogether. Ignoring the problem will not magically make it go away. It is imperative to seek legal counsel right away to review your options. The Law Office of Michael A. Ziegler, P.L. serving Tampa Bay and Clearwater Florida, can review your individual circumstances and help you decide how to handle your foreclosure.
Housing Bubble Collapse
The state of Florida, specifically the Tampa Bay area, is the second highest state in the nation for foreclosure. In 2006 – 2007, foreclosure rates began increasing. Shortly after, the U.S. housing bubble collapsed in 2008. This affected home values, mortgage markets, and even home builders, etc. This forced many homeowners into foreclosure because they could no longer afford their mortgages.
How it Works
When a borrower takes out a home loan, they grant the bank a security interest from the borrower in the home. The security interest (mortgage) gives the lender the right to repossess the home if the borrower stops making payments. This is foreclosure. Essentially, the termination of the homeowner’s ownership.
In Florida, foreclosure is a legal process. Like any legal process, the lender has to prove its case before a court will grant the foreclosure. This can be difficult if the loan changed hands, or the lender didn’t follow proper procedure. Before foreclosure is final, courts of equity can grant the homeowner the equitable right of redemption if the debt is paid.
What you Can Do
Once served with a foreclosure complaint, you must act immediately. You only have 20 days to respond before a default is entered against you. Even if foreclosure on your home is inevitable, there are 4 options available to you:
- Foreclosure defense
- Negotiate for a loan modification, deed-in-lieu of foreclosure, or short sale
- Personal bankruptcy – Chapter 7 or Chapter 13
- Negotiate to request a reduced payoff or payment plan
Don’t wait to until it is too late. Seek legal counsel immediately. The Law Office of Michael A. Ziegler, P.L. serving Tampa Bay and Clearwater Florida can help you and review your individual options. You do not have to go through foreclosure alone, call today for a free consultation at (727) 538-4188 or fill out our contact form online. We look forward to helping you.