Before Foreclosure

Though foreclosure is something no one wants to face, it helps to understand the foreclosure process in Florida—especially since much can be done before foreclosure to better your outcome.

Missing One Payment

The road to foreclosure starts when you miss one payment. If you want to avoid foreclosure altogether, it is important to update payments as soon as possible. You will incur a late fee due to your missed payment, so be sure to take this into account.

Missing a Few Payments

Once you start to miss a few payments, your mortgage service will begin to send you letters and call you, reminding you to catch up. While the constant calls and letters might be annoying, use this time to discuss loss mitigation options. With an attorney to guide you, you may be able to walk away with a loan modification, a forbearance, or a payment plan that benefits you.

Pre-foreclosure Review Period

Federal law now requires mortgage companies to wait until you are 120 days delinquent on your payments before they can file a case to begin the foreclosure process. Use this time to explore loss mitigation options.

Stopping Mortgage Payments

If at any time you feel that getting current on your account is impossible (due to an accident, for example) and loss mitigation options don’t provide workable solutions, it may be worth considering stopping mortgage payments and saving up your money to start again after foreclosure, or bankruptcy. Be sure to discuss this plan with your attorney.