If foreclosure is filed against a property in Florida, then the borrower has a right of redemption, which provides borrower an opportunity to pay off the lender before the clerk of court files a certificate of sale or the time specified in the foreclosure judgment, order, or decree. See Florida Statute 45.0315. If the lender is paid off, then the foreclosure is extinguished, and the borrower keeps the property.
To exercise the right of redemption, the borrower must notify the lender that the borrower is exercising the borrower’s right of redemption and provide payment directly to the lender or the clerk of the court. The borrower will also be responsible for costs and attorney’s fees related to the foreclosure action.
The purpose of the right of redemption is to help borrowers stay in their home. However, it is rare for a borrower to exercise the right of redemption. The reason it is rare is because the borrower usually does not have the money to pay off the lender if the home is in foreclosure. If the borrower had the money, the borrower would likely not have gotten to the point where the borrower needed to exercise a right of redemption. Although it is rare, it can be helpful to some borrowers.