The Florida court system has been backlogged with foreclosure cases for years. For the past three consecutive years, state lawmakers have tried to find a solution to Florida’s foreclosure problem to no avail. A new piece of proposed legislation has popped up.
Could this be the solution that homeowners and banks have been looking for, or will it add additional complications to the state’s already burdened court system and further hurt struggling homeowners? The proposed legislation is called the Florida Fair Foreclosure Act. It raises concern among many homeowners and foreclosure defense attorneys who protect families facing home foreclosure actions.
According to reports, the purpose of the proposed law is to clear foreclosure cases out of the state court system by processing them more quickly. This provision could have the effect of reducing the amount of time a homeowner has to remedy a mortgage that is in default and could, therefore, sacrifice the best interest of the homeowner.
Some of the other major provisions of the proposed law include:
- Allowing lenders to forego public auctions if the outstanding balance of the homeowner’s mortgage exceeds 120 percent of the current value of the property
- Removing the ability of a homeowner to reclaim their house when challenging a final foreclosure
- Reducing the time period for uncontested foreclosures from 90 days to 45 days
Currently, the proposed legislation is being passed around for review and revision. In the meantime, Florida homeowners facing foreclosure are left to wonder whether the potential speedy foreclosure process will benefit them or merely reduce the case load in the court system.
We will post an update when there is a development regarding this important Florida issue.
Source
The Palm Beach Post: “Florida legislature trying to bust foreclosure backlog – again,” Kimberly Miller, Sep. 5, 2011