Foreclosure is a stressful experience, and many homeowners aren’t aware that they may be entitled to surplus funds after their property has been sold. Unfortunately, various myths surrounding surplus claims prevent people from pursuing the money that’s rightfully theirs. At Surplus Refund LLC, we’re here to clear up the confusion. Below, we address some of the most common myths about foreclosure surplus claims and share the truths you need to know.
Myth #1: The County took and sold the property, so I’m not entitled to any money.
Truth: Even if the county foreclosed on your property for unpaid taxes, you may still be entitled to surplus funds after the sale. Many homeowners believe that when a county sells a foreclosed property, any extra money automatically goes to the county. However, this is not true. The county is only entitled to the amount needed to cover unpaid property taxes. If the property was sold for more than what was owed in taxes, the excess funds—also known as surplus funds—belong to the homeowner, not the county. If your property was foreclosed on for tax reasons, you might still be eligible to claim any surplus that remains after the debt is satisfied.
Myth #2: The bank foreclosed on my property, so they get all the money from the sale.
Truth: The bank is only entitled to what was owed on the mortgage, and any surplus belongs to the former homeowner. When a bank forecloses on a property, they are entitled to recover what is owed on the mortgage, including any associated fees. However, if the sale of the property exceeds the total mortgage debt, the remaining surplus funds are not the bank's—they belong to the former homeowner. If your home was sold for more than you owed, you may have the right to reclaim those surplus funds. Working with professionals like Surplus Refund LLC can help ensure you receive what’s rightfully yours.
Myth #3: Surplus funds are only available for large properties.
Truth: Surplus funds can result from any foreclosure, regardless of the property size or value. Many people mistakenly believe that surplus funds are only generated from high-value properties, but that’s simply not the case. Surplus funds occur when the sale price of a foreclosed property exceeds the outstanding mortgage balance and other costs. This can happen with properties of all sizes and values. Whether your home was large or small, if it sold for more than what was owed, you may be entitled to recover the surplus.
Myth #4: The process is too complex to be worth it.
Truth: While the process can be intricate, working with experienced professionals like Surplus Refund LLC simplifies the journey. It’s true that the foreclosure surplus claim process involves paperwork, legal requirements, and strict timelines. However, you don’t have to tackle it on your own. At Surplus Refund LLC, we specialize in guiding homeowners through this process, taking care of the complexities for you. Our team ensures that all documentation is handled correctly, so you can focus on what matters most—reclaiming your funds.
Myth #5: I don’t qualify for a claim if the property sold a while ago.
Truth: There are time limits for filing, but you may still qualify even if it’s been some time since the sale. Each state has its own rules regarding the timeline for filing surplus claims. While it’s important to act promptly, you may still be eligible for a claim even if the foreclosure happened some time ago. If you’re unsure about your eligibility, it’s worth reaching out to professionals like Surplus Refund LLC. We can assess your situation, inform you of your rights, and help you file your claim before any deadlines pass.
Don’t Let Myths Stand Between You and Your Surplus Funds
Believing these myths can cause you to miss out on recovering the funds you’re entitled to after a foreclosure. At Surplus Refund LLC, we’re here to make the process as straightforward and hassle-free as possible. If you’re uncertain whether you qualify or have questions about surplus funds, let us help you separate fact from fiction.
Ready to Take Action?
If you’re ready to learn more or start your surplus claim, schedule a consultation with us today. We’re here to answer your questions, guide you through the process, and help you recover the funds that belong to you.
Comments