For a more complete list frequently asked questions please visit www.hillsbar.com.

What is foreclosure?

Foreclosure is a legal process that occurs when a person who holds a mortgage loses the right to continue to do so, usually because mortgage payments have not been made in accordance with the terms of the mortgage.   The lender that holds the mortgage files a lawsuit to recover the property.

What does ‘homestead’ or ‘homestead exemption’ mean?

Homestead exemption is a tax benefit that is offered to homeowners. The amount of taxes owed on the property is reduced if the property is used as the homeowner’s primary residence and the homeowner has properly filed for a Homestead Exemption with the State of Florida. While Homestead property is normally free from creditors, it is not protected against foreclosure for loans on the property.   The RMFM Program requires that foreclosure cases that are sent to mediation are for residential homestead properties that are already documented as such in the Tax Collector's records.

What is mediation? 

Mediation is a meeting that is attended by the homeowner (borrower/defendant), any co-borrower, the homeowner’s legal counsel (if any), the lender (plaintiff), and the plaintiff’s legal counsel (if any). A discussion is held among the parties to determine if an agreement can be reached that will help the homeowner avoid foreclosure. A trained Florida Supreme Court Certified mediator is a neutral third party who helps both parties to negotiate a fair and voluntary agreement.   The mediator does not favor either the homeowner or the lender, does not decide who is right or wrong, and does not provide legal advice. Participating in a mediation does not guarantee that a settlement will be reached, or that the property will not be foreclosed, but provides an opportunity for the homeowner to discuss these matters directly with the lender with the assistance of the mediator.

What does the RMFM program cost, and am I required to participate?

There is no charge for the borrower to start the RMFM Program. The Lender filed for the foreclosure is responsible for paying the fees to begin. If the homeowner is able to reach a settlement, the costs of the program may be added by the lender to the costs of the loan. This is a voluntary program on the part of the homeowner.  If the homeowner declines to participate, the foreclosure case is sent back to the Court and the foreclosure action will continue.

Why should I participate in the RMFM?

There are many reasons why homeowners experience difficulty in paying their mortgage. The first step in this process is to participate in financial counseling, as indicated below, which may resolve the case prior to even going to a mediation. Should the financial counseling not provide a resolution, mediation provides an opportunity for the homeowner and lender to discuss these problems in a fair and balanced manner with the help of a mediator. Mortgage lenders do not typically want to own houses, so mediation can offer a chance for both parties to reach a realistic, practical solution before foreclosure occurs.  

How does the program work?

If the homeowner decides to participate, he/she is first required to speak to an approved foreclosure financial counselor before the mediation takes place; the approved financial counseling agency is The Center for Special Needs Trust Administration, Inc., www.sntcenter.org.  There is no charge to the homeowner for financial counseling (if the homeowner is able to reach a settlement, the costs of the program may be added by the lender to the costs of the loan). The financial counselor and homeowner will discuss the homeowner’s circumstances, and the financial counselor will give the homeowner basic information as to what options are most realistic for his/her situation.   If the homeowner wishes to proceed with mediation, a session will be scheduled with the homeowner and the lender.
 
What can I expect as a result of mediation?

The mediator will conduct a neutral and impartial session during which the homeowner and lender discuss what can realistically be done to avoid foreclosure. If the homeowner and lender can agree on a way to accomplish this, a settlement agreement will be drafted and presented to both parties for signature at the end of the mediation session. With some limited exceptions, the mediation is confidential. The Court will recognize the mediation agreement as final and binding. Mediation does not guarantee that a settlement will be reached, or that the property will not be foreclosed. It does offer the homeowner the opportunity to meet with the lender in person and discuss possible options with the assistance of a mediator.

How do I enroll in the program?

Each Hillsborough County qualified homeowner who is served with a notice of foreclosure on their residential homestead property on or after August 2, 2010 will automatically receive enrollment information about mediation from the RMFM Program Manager. 

Where will the mediation be held?

Mediations will be held in downtown Tampa at the Hillsborough County Bar Foundation, Chester Ferguson Law Center (adjacent to Stetson Law School Campus), 1610 N. Tampa Street, Tampa, FL, 33602. If travel to downtown Tampa presents an extreme hardship to the homeowner, the Program Manager will attempt to schedule the mediation in a Program-approved alternate facility. Alternate location scheduling is dependent on availability. The homeowner must contact the Residential Mortgage Foreclosure Mediation Program with a request for an alternate site as soon as possible, but no less than ten days in advance of the mediation session (phone: 813-490-5041; e-mail: rmfm@hillsbar.com).   

Can I bring a family member or friend with me to the mediation?

If there is more than one borrower listed on the loan or mortgage, the co-borrower is required to attend.  If the homeowner is the only borrower and feels the need to have someone accompany him/her for the purpose of talking over the information/options being presented, this is permitted as long as the person accompanying the borrower is an adult, and understands that they are not allowed to take an active role in the negotiation.  Children are not allowed to come to the mediation.

What if the homeowner doesn’t speak English? 

If the homeowner’s primary language is one other than English, they are strongly encouraged to bring an adult family member or friend who can translate. If the homeowner does not have someone who can translate, please inform the Residential Mortgage Foreclosure Mediation Program of this need as far in advance as possible, but no less than seven business days in advance of the session (phone: 813-490-5041; e-mail: rmfm@hillsbar.com). While every effort will be made to assist the homeowner, translation assistance cannot be guaranteed for every language. 

What if the homeowner has a disability that requires special assistance during mediation?

If the homeowner has a visual, hearing or other disability that requires special assistance, they are strongly encouraged to bring an adult family member or friend who can provide assistance. If the homeowner does not have someone who can help, please inform the Residential Mortgage Foreclosure Mediation Program office of this need as far in advance of the mediation as possible, but no less than seven business days in advance of the session (phone: 813-490-5041; e-mail: rmfm@hillsbar.com).    

Who do I contact for further information?

All questions about the RMFMP should be addressed to The Hillsborough County Bar Foundation, Chester Ferguson Law Center, 1610 N. Tampa Street, Tampa, FL  33602, phone: (813) 490-5041, email: rmfm@hillsbar.com or www.hillsbar.com.