Florida Laws

Florida foreclosures must be pursued through judicial proceedings, as Power of Sale clauses are not allowed in mortgages. When a lender defaults, a lender begins the process of foreclosure by filing a suit known as a Lis Pendens against them in court. The court then schedules a preliminary hearing, at which the homeowner may contest the default. If the court finds that a default has indeed occurred, they will order the property be sold at public auction in order to retrieve the amount lost on the loan. The homeowner cans top this process by providing the lender with the default amount owed at any point up until the day of the sale. Generally, Florida foreclosures sales take place 20-35 days after the court's ruling on the issue.

In the weeks before the sale, the county clerk must issue a Notice of Sale outlining the date, location and terms of the sale and arrange for it to appear weekly in a local newspaper from the time of the ruling until the sale occurs. The last publication must occur within five days of the date of sale.

On the date in question, the county clerk auctions off the homeowner's property to the highest bidder. Once the winning bidder provides a five percent deposit and makes arrangements to pay the balance by the end of the day. Once the deposit is provided, the winning bidder is entitled to receive a Certificate of Sale, valid upon the full payment of the bid. If payment is not procured, the sale is void and another sale must be scheduled at least twenty days in advance.

Once a sale has been deemed successful, the clerk drafts a deed for the winning bidder and transfers full ownership to them. The original homeowner has no rights to redemption once the sale is complete.

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