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Asset Recovery

Leaning foreclosure sign in front of a modern single family home on a cloudy cold day.jpg
What is a foreclosure?  

 Foreclosure is a legal process in which a lender takes possession of a property due to the borrower's failure to meet mortgage obligations. When a homeowner defaults on their mortgage payments, the lender initiates foreclosure proceedings to recover the outstanding loan balance. This process typically involves stages such as delinquency, issuing a notice of default, pre-foreclosure attempts to resolve the default, a foreclosure sale where the property is auctioned off, and, if necessary, the property becoming real estate owned (REO) by the lender. Foreclosure laws vary, so it's crucial to understand local regulations or seek legal advice in such situations. Ultimately, foreclosure allows the lender to recoup their investment by selling the property.

What are surplus funds?


Surplus funds, in the context of a foreclosure, refer to the excess money generated from the sale of a foreclosed property. When a property is auctioned off after a foreclosure, the highest bidder's payment is used to cover the outstanding mortgage balance, interest, fees, and other expenses associated with the foreclosure process. If the auction sale price exceeds the total debt and expenses, the surplus funds are created.

These surplus funds represent the remaining money after all the necessary obligations have been satisfied. The surplus belongs to the homeowner who experienced the foreclosure. It is an amount that goes beyond what was required to settle the debt, and the homeowner may have the right to claim these funds.

How can we help?


At MSDA, we specialize in assisting individuals in recovering their surplus funds after a foreclosure. We understand that the foreclosure process can be overwhelming, and we are here to help homeowners navigate the complexities involved in claiming their rightful funds. Our team of experienced professionals are well-versed in the laws and procedures governing surplus funds in various jurisdictions. We will work closely with you, guiding you through the necessary steps, such as filing the appropriate paperwork, gathering required documentation, and representing your interests in court if needed. Our personalized approach ensures that each client receives the attention and support they deserve as we strive to maximize their recovery. With our expertise and dedication, individuals can navigate the complexities of the foreclosure system and reclaim their rightful funds with peace of mind.

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