Sometimes there is money left over from the payments towards the mortgage after foreclosure sales. Many people do not know that they can receive surplus property funds after their property is sold in a foreclosure auction. Whenever a property is sold in foreclosure due to an unpaid mortgage loan, the lender is required to return surplus funds to the prior owner after the auction.
Claim Foreclosure Overage Money Under Foreclosure Laws
Foreclosure laws state that the difference of the unpaid loan amount and the current selling price of the foreclosed property should be paid to the defaulter. Such a difference is known as foreclosure surplus fund. In order to have access to such funds, our surplus fund attorney can help you file a legal claim on your behalf to claim any excess funds from the foreclosed home sold for more than what you owed.
The Foreclosed home sold for more than owed
After a foreclosure sale, it is the duty of the trustee to inform the previous owner about refunding any excess amount. However, in many cases, trustees do not give adequate notice to the prior owner. Our surplus fund lawyer can conduct necessary follow-ups with your bank and the sole trustee and follow required court procedures to get back the surplus money.
Eviction After Foreclosure
An experienced real estate law firm can also fight eviction while you make your claim for surplus funds.
What Happens to Excess Proceeds from a Foreclosure Sale?
Excess proceeds from a foreclosure sale result when a home is sold in a foreclosure auction, and there is a surplus remaining. When a lender auctions a home with a loan balance that is less than the sale price, foreclosure proceeds remain from the sale. For example, a foreclosure auction sale for $500,000.00 on a home with a loan balance of $300,000.00 results in excess proceeds of $200,000.00 which legally belong to the prior owner.
The most common example of a surplus funds case is when a sale price in a foreclosure is more than the balance of the mortgage[s]; that money is the rightful “equity” that belongs to the prior owner. The excess proceeds are held by a trustee and deposited with the court for the rightful titleholder to make a legal claim.
The best way to be sure that there are excess proceeds from a foreclosure sale is to consult with our attorney and confirm the amount of foreclosure proceeds that can be claimed. Our team has the experience to make successful claims and recovery funds on behalf of homeowners who have lost their homes in foreclosure.
Call today for a free case evaluation, during a quick call we can immediately tell you whether you have a valid claim and how we will take steps to recover your surplus funds.
How to Claim Surplus Funds from Foreclosure
Generally, many people do not have in-depth knowledge of legal procedures pertaining to filing the claim for foreclosure surplus funds. Getting help from an experienced surplus fund lawyer can help to claim surplus funds from the foreclosure sale. Working with our surplus fund lawyers means having someone who knows efficient ways of filling necessary paper works on your behalf.
Our law firm will perform the necessary paperwork in order to claim surplus property funds of the prior homeowners. Our surplus fund attorney will ensure that there is no delay in claiming your foreclosure refund money. Our surplus fund attorney will take the time to calculate the amount of money to claim on your behalf and ensure that you will receive surplus money in a timely manner after the foreclosure procedures.
There are serious advantages of hiring a surplus fund attorney who can help you to navigate the legal procedures for claiming surplus funds.
A law firm will take care of the necessary paperwork and legal procedures and will also provide you with free advice on ways of safely claiming your surplus amount after a foreclosure sale.