Selling a House Before Foreclosure in Florida

How foreclosure works here, what your servicer has to consider first, and where selling fits among your options.

Understand My Selling Options

Quick answer

You can generally sell your house at any point before the foreclosure sale is completed, and if the house is worth more than you owe, selling lets you pay off the loan and keep what is left. Selling is one option among several. Your mortgage servicer may be able to offer a repayment plan, a loan modification or another arrangement, and a free HUD-approved housing counselor can help you ask for one. The earlier you act, the more of these options stay open.

How foreclosure works in Florida

Florida is a judicial foreclosure state. A lender cannot simply take the house: it has to file a lawsuit in circuit court, serve you with the complaint, and obtain a judgment before the clerk of court can hold a sale. The procedure is set out in Chapter 702 of the Florida Statutes.

In broad terms the stages are:

  1. Missed payments. The servicer sends notices and late fees begin. Under federal rules, a servicer generally cannot make the first foreclosure filing until the loan is more than 120 days delinquent (12 CFR 1024.41).
  2. The lawsuit. The lender files a complaint and you are served with a summons. The summons states how long you have to file a written response with the court. Do not ignore it. Missing that deadline can lead to a default judgment.
  3. Judgment. If the court rules for the lender, it enters a final judgment and sets a sale date.
  4. The sale. The clerk of court auctions the property, in most Central Florida counties online.
  5. Certificate of sale and title. After the sale the clerk files a certificate of sale and later issues a certificate of title to the buyer.

How long this takes varies widely from case to case and county to county. Read every notice and court paper you receive for the dates that apply to you.

The right to pay off the debt

Under section 45.0315, a homeowner can stop a foreclosure sale by paying the amount due at any time before the later of the clerk filing the certificate of sale or the time specified in the judgment. That is the window in which a sale of the house to a buyer of your choosing can still pay off the loan. After it closes, the right ends. An attorney can tell you exactly where your case stands.

Why acting earlier gives you more options

  • Fees keep adding up. Late charges, interest, inspection fees and the lender’s attorney’s fees are added to what you owe, which eats into any equity.
  • Workout options have deadlines. A complete application for help submitted early gets stronger protection under federal servicing rules than one sent shortly before a sale.
  • A normal sale takes time. Listing, finding a buyer and closing can take months. Starting before the lawsuit, or early in it, leaves room for that.
  • Your credit. A completed foreclosure generally does more damage than a sale that pays the loan off.

Options to look at before selling

Talk to your servicer

Call the number on your mortgage statement and ask for the loss mitigation department. Ask what options are available and what a complete application requires. Depending on the loan, these can include a repayment plan, forbearance, a loan modification, or for FHA, VA and USDA loans, programs specific to those agencies.

Get free help

HUD-approved housing counselors help homeowners understand their options and prepare applications, at no charge. Use the CFPB’s Find a Housing Counselor tool, or see HUD’s avoiding foreclosure page. You do not need to pay anyone to ask your servicer for help. Be cautious of any company that asks for a fee up front to “stop” a foreclosure.

Get legal advice

If you have been served with a lawsuit, speak with an attorney quickly. Florida Law Help lists free legal aid organizations by county, and The Florida Bar Lawyer Referral Service can connect you with a private attorney.

If you decide to sell

The first number you need is the payoff: the full amount required to release the mortgage on a given date, which is more than the principal balance once missed payments, interest and fees are included. You can request a payoff statement from your servicer.

You have equity

If the house is worth more than the payoff plus the costs of selling, a sale pays the lender in full and the remainder is yours. This is true whether you list with an agent or sell as-is.

You owe more than it is worth

A sale would need the lender to accept less than the full balance, known as a short sale. That requires the lender’s written approval and takes time, so start early and get advice.

Listing with an agent

Usually brings the highest price when the house is in good condition and there is time before any sale date. Allow for commission, closing costs and the weeks it takes a financed buyer to close.

Selling as-is for cash

Usually a lower price, with no repairs and a shorter, more predictable timeline. It can make sense when a sale date is close or the house needs work a lender would not finance.

The cash sale vs traditional sale calculator lets you enter your payoff, repairs and monthly costs and see what each route would leave you.

If the sale has already happened

When a foreclosure auction brings in more than the judgment amount, the extra is called surplus. The former owner may be entitled to claim it from the clerk of court, and there are time limits for doing so. You do not need to sign your rights over to a third party to make a claim. Contact the clerk of court in the county where the case was filed, or an attorney, as soon as possible.

Official resources

Related guides

Local records and offices:

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Start with the property address. We aim to respond within 24 hours. Asking for an offer does not stop you from working with your lender or listing the house.

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This guide is general information, not legal advice. Foreclosure timelines and rights depend on your loan, your court case and the documents you have been served. Speak with a Florida attorney or a HUD-approved housing counselor about your situation.