What to Expect When You Hire a Surplus Funds Recovery Lawyer

Manfred Sternberg • Nov 25, 2019

What to Expect When You Hire a Surplus Funds Recovery Lawyer

Have you fallen behind on your mortgage payments? Is foreclosure imminent?


If so, then you’ve already got enough pressure and stress in your life. You don’t need the hassle of ensuring you’re provided with the surplus funds you’re entitled to. At this point, you have a number of choices ahead of you. Sometimes, the right answer is to seek to avoid foreclosure entirely. However, note that Texas law may be able to offer a glimmer of hope for those who are facing such woes.


What are surplus funds, and how can a lawyer help? Find out all the answers below.

What Are Surplus Funds? Am I Entitled to Them?

In foreclosure situations, your home often gets auctioned off to the highest bidder. Sometimes, the house gets sold for more money than the liens against it. This extra money’s called foreclosure surplus funds.


So, are you (the homeowner) entitled to these surplus funds? Here’s how to know — did your property sell for more than what you owed to lenders?
If the answer is yes, then it’s important to figure out if you’re entitled.


The number one reason people don’t get these funds is because they aren’t aware those funds could become theirs after taking the right steps. You can recover these funds, but you may need an attorney’s help. Learn more about the process below.

Do You Need Legal Representation?

The Mortgage Bankers Association reports one out of 200 homes gets foreclosed upon. While your situation isn’t ideal, you’re not alone.


Thousands of families go through the foreclosure process, but there’s help available. So, what are surplus fund attorneys, and how can they help? Here are a few advantages of hiring an attorney:



  • They’ll help you fill out and file the proper paperwork
  • They’ll ensure you take action before your claim expires
  • They’ll help monitor your home’s auction

 

Hiring a lawyer for this process isn’t required. You can research how to claim foreclosure overages on your own. But, having an attorney on your side is a huge advantage.

What to Expect From Your Lawyer

So, how exactly does this work?


After submitting any and all documents concerning the property's ownership history or the foreclosure to an attorney for review, the attorney will determine if you are a viable candidate to recover proceeds and identify whether there are any looming issues. Once legal engagement with an attorney has been formalized, you and your attorney will discuss your circumstances. You’ll learn what you might be able to reasonably expect for the unique circumstances of your case/ claim. Always keep in mind, however, that surprises and delays can (and do) appear.


After foreclosure, the home goes to auction. Most auctions take place online, and the transactions are fast. You’ll get notified about any excess proceeds, but the mail will go to your old address—meaning that most folks don't ever get this notice.


To ensure this doesn’t happen, leave a forwarding address so you’ll get notified. This important notification should include information on how to access your funds.


If you didn’t receive notice, then an attorney can research what happened after engagement with that attorney has been formalized. An attorney in this field should be ready to help in determining whether surplus funds exist and how to access them.


Next, you’ll need your attorney to file a petition for the excess proceeds in court or to submit a claim to the mortgage foreclosure Trustee. You have a limited time frame to file or you’ll lose the funds by default (in the tax context).

Finding the Right Surplus Funds Lawyer For You

Now that you know what you’re entitled to and what to expect, you can pursue your rightful funds. The process won’t be easy, but it’ll be worth it.
Are you currently wondering how to navigate the surplus funds procedure? Are you looking for legal representation in Houston? If so, then reach out to Manfred Sterberg and Associates on our online form now.
29 Feb, 2024
Buying or selling a home can be an exciting but daunting experience, especially in the fast-paced real estate market of Texas. From understanding the legal aspects to negotiating contracts, there are many factors to consider when embarking on a residential real estate transaction. In this blog post, we will explore the ins and outs of navigating residential real estate transactions in Texas, providing valuable insights and tips for Texas residents looking to buy or sell property.  Understand the Market: Before diving into a residential real estate transaction in Texas, it's essential to understand the current market trends. Researching local housing market statistics, such as median home prices and inventory levels, can help you make informed decisions when buying or selling a property. Keep an eye on neighborhood developments, upcoming infrastructure projects, and economic indicators that may impact property values in your desired location. Get Pre-Approved for a Mortgage: If you're planning to buy a home in Texas, getting pre-approved for a mortgage is crucial. This process involves providing financial documents to a lender who will assess your creditworthiness and determine how much you can borrow. Having a pre-approval letter not only demonstrates your seriousness as a buyer but also gives you a competitive edge in multiple offer situations. Hire a Real Estate Agent: Whether you're buying or selling a home in Texas, working with a reputable real estate agent can streamline the process and protect your interests. An experienced agent can help you navigate complex legal documents, negotiate offers, and provide valuable insights into the local real estate market. Look for an agent who specializes in residential transactions in your target area and has a track record of successful deals. Conduct Due Diligence: When entering into a residential real estate transaction in Texas, due diligence is key to avoiding potential pitfalls down the road. This includes reviewing property disclosures, conducting inspections, and researching zoning regulations that may impact your intended use of the property. Understanding all aspects of the transaction before closing can save you time, money, and headaches in the long run. Close with Confidence: Closing on a residential real estate transaction in Texas involves signing numerous legal documents and transferring funds between parties. To ensure a smooth closing process, work closely with your real estate agent and attorney to review all paperwork thoroughly before signing. Be prepared for unexpected delays or last-minute issues that may arise during closing day but rest assured that with proper preparation and guidance from professionals; you'll soon be holding the keys to your new home. Navigating residential real estate transactions in Texas requires careful planning, research, and expert guidance from professionals who understand the intricacies of the local market. By following these tips and staying informed throughout the process; you can confidently buy or sell property while minimizing risks and maximizing returns on your investment. Whether you're searching for your dream home or looking to capitalize on lucrative opportunities; remember that knowledge is power when it comes to making informed decisions about residential real estate transactions in Texas.
By Manfred Sternberg and Alex Hood 29 Jan, 2024
Tax Foreclosure vs. Mortgage Foreclosure: Part II
24 Jan, 2024
Why Hiring an Attorney is Essential for Smooth Business Mergers and Acquisitions.
By Manfred Sternberg and Alexander Hood 20 Jan, 2024
Tax Foreclosure vs. Mortgage Foreclosure: Part I
By Manfred Sternberg and Alexander Hood 13 Jan, 2024
Supreme Court Strikes Down “Equity Theft” on Tax Liens in Landmark Case
By Manfred Sternberg 02 Jan, 2024
like sand in the hourglass . . .
By Max Sternberg 15 Dec, 2023
The Importance of Hiring a Business Litigation Attorney in Texas
By Manfred Sternberg 10 Nov, 2023
How these causes of action work
By Manfred Sternberg 08 Nov, 2023
Texas is no stranger to disputes over property...
By Manfred Sternberg 31 Oct, 2023
Why You Need a Mergers and Acquisitions Attorney in Texas
More Posts
Share by: