Answer

Foreclosure surplus funds recovery in DeKalb County, GA helps former homeowners claim any remaining funds after a nonjudicial foreclosure sale. Our service guides you through the process, ensuring your rights are protected under Georgia law.

After a nonjudicial foreclosure in DeKalb County, if the sale of your property brings in more than what was owed on the mortgage and associated costs, there may be surplus funds available. These funds are not automatically sent to former owners, and the process to claim them involves strict legal steps. We assist former homeowners in understanding and pursuing their rights to any surplus, providing guidance from start to finish.

Why choose us

  • Deep knowledge of Georgia’s nonjudicial foreclosure process.
  • Experience with DeKalb County’s procedures and the Superior Court of DeKalb County.
  • Clear communication and step-by-step support.
  • Local presence and availability for your questions.
  • Reach us at (561) 933-4747 or visit 160 W Camino Real, 589, Boca Raton, FL 33432.

Services offered

  • Review of foreclosure sale documents and surplus status.
  • Guidance on identifying and contacting the foreclosing attorney holding the surplus.
  • Preparation and filing of necessary paperwork in the Superior Court of DeKalb County if funds are interplead.
  • Communication with junior lienholders and other parties as needed.
  • Ongoing updates and support throughout the process.

Steps

  1. Confirm surplus exists: After the foreclosure sale (held on the first Tuesday of the month on the courthouse steps in Decatur), we review the sale records to determine if surplus funds remain.
  2. Identify the holder: In Georgia, the foreclosing attorney—not the county—holds the surplus funds. We contact the attorney to verify the amount and status.
  3. Review priority of claims: Surplus funds are distributed first to cover sale costs and attorney’s fees, then to the secured lender, followed by junior lienholders in order of priority, and finally to the former owner.
  4. Prepare claim or respond to interpleader: If the surplus is interplead into the Superior Court of DeKalb County, we prepare the necessary filings and represent your interests in court.
  5. Monitor and follow up: We track the progress, respond to any challenges, and keep you informed until the matter is resolved.

Example

Example scenario: A homeowner in DeKalb County loses their home to a nonjudicial foreclosure. The property sells on the first Tuesday for $210,000. After paying the lender’s secured debt of $180,000, plus $10,000 in sale costs and attorney’s fees, $20,000 remains. The foreclosing attorney holds this surplus. A junior lienholder claims $5,000, which is paid next. The remaining $15,000 may be available to the former owner, pending court approval and any other valid claims. This is a hypothetical example for illustration only.

Common pitfalls

  • Assuming the county holds the funds: In Georgia, the foreclosing attorney—not DeKalb County—holds the surplus.
  • Missing the interpleader process: Surplus funds are often deposited into the Superior Court of DeKalb County through an interpleader action. Failing to respond can limit your options.
  • Waiting too long: Surplus funds do not sit indefinitely. Delays can make recovery more difficult or allow other parties to claim the funds.
  • Overlooking junior liens: Junior lienholders may have priority over the former owner for some or all of the surplus.
  • Not understanding the distribution order: Funds are paid in a strict order: sale costs and attorney’s fees, secured debt, junior lienholders, then the former owner.

FAQ

What is a nonjudicial foreclosure? Georgia uses a nonjudicial foreclosure process, meaning the lender can sell the property without a court judgment if the mortgage documents allow it. When and where are foreclosure sales held in DeKalb County? Sales occur on the first Tuesday of each month on the courthouse steps in Decatur. Who holds the surplus funds after a foreclosure sale? The foreclosing attorney holds any surplus, not the county. If there are disputes, the funds are often deposited with the Superior Court of DeKalb County through an interpleader action. How are surplus funds distributed? Surplus funds are distributed first to cover sale costs and attorney’s fees, then to the secured lender, followed by junior lienholders, and finally to the former owner. Is there a deadline to claim surplus funds? There is no set statutory deadline, but surplus funds do not remain available forever. Waiting can narrow your options. Can you guarantee I will recover surplus funds? No outcome is guaranteed. Each case depends on the facts, the claims of other parties, and the court’s decision. How do I get started? Contact us at (561) 933-4747 or visit our office at 160 W Camino Real, 589, Boca Raton, FL 33432. We’ll review your situation and explain the next steps.

This page is for general information only and does not create an attorney-client relationship.

Important information

Attorney advertising. Responsible attorney: Christian Cruz, Esq., Georgia Bar Number 238836. Office: CRUZ LAW FIRM, 160 W Camino Real, 589, Boca Raton, FL, 33432.

This page is general information about Georgia law, not legal advice. Reading it does not create an attorney-client relationship, and no such relationship is formed until we have a signed written agreement.

Fee arrangements depend on the posture of the matter and are set out in a written agreement before any work begins. We are glad to explain how fees would work in your situation when we speak.