Florida Construction Loan Foreclosure

Our firm concentrates in both the prosecution and defense of construction loan foreclosures. Construction loan foreclosures in Florida can be very complex and completely different from your typical residential loan foreclosures. Generally, construction loans are funded based on the progress of the construction project via draw requests.

The construction loan has several ancillary agreements that govern the relationship between the parties involved such as a construction loan agreement, a funding agreement, a construction supervision agreement and various other agreements that relate to the construction loan. Often, the progress of a construction project is left for interpretation to the homeowner, developer and lender and this leads to the refusal of funding or insufficient funding. Once the funding is halted, if the contractor is not well funded by other means, the project could be in trouble. Ideally, a lender, contractor or homeowner should contact an attorney prior to litigation in order to resolve the progress and payment dispute of the project.

Because of the different facets to a construction loan, the construction loan relationship between the lender, contractor and homeowner lends itself to many complex and difficult issues along with various legitimate defenses that may have not been foreseen at the onset of the relationship. Our firm is often hired to resolve a dispute prior to the institution of litigation. This could save thousands of dollars in interest, penalty, remobilization, costs and legal fees. However, there are times when we are hired to prosecute or defend the lawsuit. Whether you are faced with litigation or your matter is in the early stages of a dispute, please feel free to contact us to discuss your situation.

Ray Garcia, Esq.

Board Certified in Real Estate Law

by the Florida Bar

www.raygarcialaw.com