Foreclosure and Asset Recovery

Foreclosure and Asset

Every lender has to generate revenue in order to continue to exist. Revenue must cover the lender’s expenses and also provide working capital for future operations, not to mention profit. Consequently, for any lender in the Jacksonville area, retaining a highly capable Foreclosure Attorney to implement a plan for foreclosure and asset recovery is absolutely essential. There are many situations in which lenders incur excessive loan losses simply because they are uncertain how to properly recover possession of, and liquidate the loan collateral.

In Florida, there are laws that govern foreclosure on real and personal property, as well as other legal mechanisms under which loan collateral may be recovered. However, debtors have rights too, and navigating these laws can be complicated for lenders to handle on their own. With a Foreclosure Attorney by your side, a lender can successfully identify loan collateral after a loan default, as well as expeditiously recover and liquidate it to improve the lender’s bottom line.

McCorvey Law and Mediation PLLC works closely with the lender to ensure that all loan collateral is recovered and liquidated in a timely manner.

Foreclosure in Florida

As a lender, you have likely made commercial and residential mortgage loans to various business entities and individuals over time. But what happens if a borrower misses multiple mortgage payments, fails to pay the real estate taxes on the property, or otherwise defaults under the loan documents? Mortgages are instruments that create a lien on real property to secure payment of an underlying obligation, typically evidenced by a Note. As a lender, you can protect yourself by creating a lien against real property, and personal property for that matter, such as fixtures, furniture and equipment. Mortgages and other security agreements vest the lender with certain rights in the loan collateral, to insure the debt will be paid, in whole or in part, by the recovery and liquidation of the loan collateral after such defaults occur.

Foreclosure is the legal enforcement of a lien against the property identified as collateral in the mortgage or security agreement. However, most foreclosure and other asset recovery claims are tedious and time-consuming. In addition, by historic standards, there is still an unusually high number of foreclosure cases pending in the Florida state court system, which can tend to slow down the foreclosure process in light of the court system’s limited resources. It is important to retain counsel that will “stay on top” of your case.

That is where we come in. At McCorvey Law and Mediation PLLC, we monitor each case closely to make sure the case is vigorously pursued to expedite the recovery and liquidation of the loan collateral. How does it work? First, assuming the lender prevails (which is typically the case) the court will enter a foreclosure judgment that will adjudicate the amount owed to the lender and schedule a foreclosure sale. The lender will then receive a credit to bid on the property at the sale, without further cash outlay, up to the amount it is owed as determined by the foreclosure judgment. Such amount often includes late charges, courts costs, and attorneys’ fees, in addition to principal and prejudgment interest calculated at the default rate.

When the property is sold at auction, the lender will either recover the property if it is the successful bidder, or be paid from the sale proceeds up to the amount it is owed, as stated in the foreclosure judgment, if it is outbid by another bidder.

Asset Recovery in Florida

Lenders may also need to recover loan collateral consisting of personal property. When a lender makes a secured loan to a borrower, it relies upon the loan collateral to insure mitigation of any losses that may occur in the future in the wake of a payment or other loan default. However, asset recovery in Florida can easily become complicated with issues such as the attachment and priority of liens. A borrower may retain counsel, particularly in consumer transactions, to assert defenses to the recovery or liquidation of the loan collateral. In such instances, cases can tend to “drag out” resulting in increased expense to the lender. It is important to have an experienced Foreclosure Attorney who knows how to quickly overcome any defenses lacking merit or other delay tactics presented by the borrower.

At McCorvey Law and Mediation PLLC, we help lenders timely recover and liquidate loan collateral in the wake of a loan default. Often it is necessary to utilize the courts to avoid a “breach of the peace,” which under Florida law is not permitted when recovering possession of the loan collateral. And in cases where the recovery and liquidation of the loan collateral does not pay the lender the full amount owed, in certain instances, we can take action to obtain the entry of a deficiency judgment to collect the remaining amounts owed.

Why choose McCorvey Law and Mediation, PLLC?

Foreclosure and asset recovery in Florida can be a complicated process. Dealing with borrowers in default while navigating the applicable laws can be a headache for most lenders. At McCorvey Law and Mediation PLLC, we have over 29 years of experience in the areas of foreclosure and asset recovery.

Not only do we help lenders recover and liquidate loan collateral, but we also keep them abreast of changes in the law. Furthermore, we can help lenders navigate cases in which borrowers file for bankruptcy protection during the foreclosure process. We are adept at filing Proofs of Claim, as well as obtaining adequate protection and relief from stay, when the facts and law support such remedies. And because we are selective with the clients we chose to represent, and the cases we accept, we insure that each case receives the attention it deserves.