Foreclosure Hell is real for thousands of former homeowners across the country. Debtors who were foreclosed on in 2010 through 2014 are being shocked with new lawsuits trying to collect on deficiency judgments. As I talked about previously in The Walking (Away) Dead, the most dangerous part of walking away from your home is that you lose your ability to negotiate away your deficiency judgment. It’s that deficiency judgment that can come back to haunt you one day.
Just recently, a little over 80 foreclosure cases in Sarasota County will go to trial. In less than a quarter of those cases will anyone show up to speak for the homeowner (including attorneys or the homeowners themselves). That means close to 60 foreclosures will go through with no protection for the owner of the property. So in one week, 50 to 60 former homeowners will be exposing themselves to a personal judgment down the road. Their house is upside down and is being sold at auction, and they didn’t take the time to just show up and settle the case.
I understand why those 50 to 60 homes will get sold without a peep – it’s hard for a family to face down a foreclosure crisis. For many, it’s emotionally easier to just walk away. They feel like there’s nothing they can do to stop the bank steamrolling over them, so they just let it die. They don’t get help.
I wish it were that simple. I wish you could throw your hands up and walk away, but your entire financial future is at risk when you walk away. Go back and reread the original article on Foreclosure Hell. Don’t be those people.
It doesn’t matter if your foreclosure case is just getting started, or has been laying around for years, it’s never too late to try to settle your case and ask to be released from your deficiency. Don’t fall into the emotional trap of walking away without settling. That’s how you end up in Foreclosure Hell. Even if your foreclosure trial is happening tomorrow, it’s not too late for you.
Avoid Foreclosure Hell. Settle your case, or pay a small fee for a lawyer to settle it for you. It’s not too late.
Managing Partner, Operations Manager/Sarasota
H. Daniel McKillop sues and defends lawsuits for individuals, families, and small business owners. He also advises small business owners in areas of real estate and contract formations.
Dan takes pride in helping people through financial difficulties, providing legal advocacy and support during tough times. He volunteers as a judge for Sarasota County Teen Court, and often co-counsels legal aid cases with Gulf Coast Legal Services.
Dan was an Air Force officer prior to attending law school at the University of Florida Levin College of Law. His duty assignments included deployments to Iraq, the Philippines, and various stints in east Asia.
Dan and Julia have two young sons, two dogs, four cows and four sheep.
Dan’s practice includes:
- Foreclosure defense
- Real estate litigation
- RESPA and TILA violations
- Probate litigation
- General civil lawsuits.