Florida’s Foreclosure Bill Passes
Speedy Foreclosures… Here They Come
Florida House Bill 87 passed the Florida Senate on the last day of Session, and is headed to Governor Rick Scott’s desk. The Bill, sponsored by Rep. Kathleen Passidomo, R- Naples, is the third attempt in three years by the Florida Legislature to streamline the foreclosure process. Opponents of the Bill say that the measures will hurt Florida homeowners and will benefit the banks. Proponents of the Bill say that the Bill will help homeowners by unclogging the foreclosure backlogs and helping the market recover. Additionally, the Bill will shorten the time in which the banks can pursue a deficiency judgment against a borrower by cutting the statute of limitations from 5 years to 1 year. Furthermore, the Bill protects third party purchasers who buy a foreclosed property, but later find out the foreclosure was improperly granted. The remedy to those homeowners wrongfully foreclosed upon is limited to monetary damages under the new Bill. While it remains unclear if the Bill will actually help homeowners or hurt them, it is clear that the process will start to move faster. This fact highlights the need for Tampa Bay homeowners to actively pursue loss mitigation options such as short sales, loan modifications and deed in lieu’s with all due diligence.
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