What to expect during a foreclosure auction in Florida
Whether you’re the homeowner or are looking to buy a home at a foreclosure auction in Florida, it can be an experience unlike any you’ve had before. At Claim Surplus, we have years of experience working with individuals through their foreclosure process so we’re familiar with how an auction works. If you’re curious about what to expect or how the auction goes, read our brief guide below to learn more.
Getting started
A home that’s going to be put up for auction will be put up in the legal notices section of the newspaper. This makes it easy for the general public to access the information about the home so they can attend the auction. These auctions will sometimes be held by private companies or bank-hired trustees. Moreover, they’re typically conducted in front of or in a room in county courthouses. It’s becoming more common for auctions to be held online. This is opposed to holding the auction in the front yard or driveway of the home. Those who want to be involved with the auction as a participant or an observer are able to attend the auction for themselves.
Bidding requirements
As is common with many states, you’re required to show up to the foreclosure auction with funding in hand or easily accessible in the state of Florida. This means that you must know your maximum allowable bid and have quick access to the money you say you’re good for. Lenders can require payment within 24 hours of the closing of the auction, which makes for a quick turnaround for those who don’t have the funding already secured. Typically, 24 hours isn’t enough time to secure a hard money loan or other funding, so it’s recommended that bidders come prepared with their money in hand. Counties often have different deadlines, so you’ll need to verify beforehand how much time you’ll have after the auction.
Auction procedures
Before attending the auction, research how the particular county goes about its auction process. As previously mentioned, some will hold the auction online while others will be held in person at the courthouse. Those who attend the foreclosure auction can typically check in at least an hour before it begins. This is a good way to ensure that you have an Auction Bidder Card and have a spot where you feel comfortable sitting.
Winning bidder
The winning bidder will need to settle payment with the auctioneer or their assistants immediately after bidding closes. This ensures that you’ve secured the property and it won’t go back up for bidding. Additionally, you’ll be given documents that show you’re the winning bidder. It’s important to remember that your auction documents are not a Certificate of Title. Rather, this is something that you’ll receive from the county any time within a few days to several weeks. During this time, you mustn’t do anything to the property as this is the redemption period for the previous owner.
Redemption period
Before you receive the Certificate of Title, the previous homeowner has what’s called a “redemption period” where they’re allowed to come up with the funds for the home and buy it back. If this happens, you’ll be refunded the money you paid and the homeowner will get the house back.
Reach out for help
If your home is headed for a foreclosure auction in Florida, there are steps that you can take to try to reclaim it. Get with our team at Claim Surplus and we’ll help you look at your options. Our team is experienced in working with homeowners through the foreclosure process and can help you. Schedule an appointment by calling 407-759-6226 or sending a message using our online contact form.
