Got a Lis Pendens ? What It Actually Means

What happens when you get a Lis Pendens notice 0:00 If you've gotten a piece of mail and it 0:01 has the words list pendons on it or 0:03 you've seen that phrase on a court 0:05 document, I want you to stay with me for 0:07 the next 10 minutes or so. Because 0:09 here's what most people do when they see 0:10 that. They panic. They assume the worst 0:12 and they think it's all over. And I'm 0:15 going to show you why that kind of 0:16 thinking costs people their options. A 0:19 list pinions is not the end of the road. 0:21 It's an actual signpost that tells you 0:23 exactly where you're at in the process 0:25 and how much time you have left to make 0:27 a move. My name is Jim Armstrong. I'm an 0:29 SFR realtor with Momentum Realy here in 0:31 Jacksonville, Florida. SFR stands for 0:34 short sales and Foreclosure Resource. 0:36 It's a certification I received from the 0:38 National Association of Realtors through 0:40 the Northeast Florida Association of 0:42 Realtors. I help distressed homeowners 0:44 navigate this process. And I'm going to What Lis Pendens actually means in plain English 0:46 walk you through exactly what a list 0:47 pendings is, what it's not, and what 0:49 your real options look like from here. 0:52 List pendions is Latin. It literally 0:54 translates to suit pending or pending 0:56 lawsuit. Here's what it means in plain 0:58 English. When a lender decides to begin 1:00 the foreclosure process in Florida, they 1:02 cannot just take your home. They have to 1:04 go to court because Florida is a 1:05 judicial foreclosure state. That means 1:08 the bank has to file a lawsuit, go 1:10 before a judge, and get a court order 1:12 before anything happens to your home. 1:14 The list pinions is the official notice 1:16 that gets filed with the court and 1:18 recorded in the public record. It is the 1:20 lender saying, "We have filed lawsuit 1:22 against this property." That's it. It's 1:24 a notice of a lawsuit. It's not a 1:26 judgment. It's not an eviction notice 1:28 and it's not a foreclosure sale date. 1:30 It's just the beginning of the legal 1:31 process, not the end. And here's one key 1:34 piece I want you to hear. Between the 1:36 list pendings being filed and your home 1:38 actually going to the foreclosure 1:39 auction typically lands somewhere 1:41 between 90 to 120 days. I've seen this Florida is a judicial foreclosure state — what that means for you 1:45 process in Florida drag out much longer, 1:48 sometimes more like a year. This 1:50 typically happens when homeowners 1:52 understand their position and the 1:54 options and what actions to take. The 1:57 clock is running, but you have more time 1:59 than you think. Let me walk you through 2:01 what the foreclosure process actually 2:03 looks like in Florida. Because 2:04 understanding your timeline is 2:06 everything. It starts with the first 2:08 mispayment that puts you in default. 2:11 After 90 to 120 days of mispayments, the 2:14 lender sends you something called a 2:15 notice of default or an NOD. That is 2:18 your first formal warning that the 2:20 foreclosure process is beginning. If 2:22 nothing changes after that default, the 2:24 lender hires an attorney. That attorney 2:26 files a lawsuit and part of that filing 2:28 is the LIS pendants. The document gets The Florida foreclosure timeline step by step 2:30 recorded in the public record and that's 2:32 what shows up in your mailbox. Now, 2:34 here's where it gets important. After 2:36 the LIS pendance is filed, the case goes 2:38 into the Florida court system. There are 2:40 hearings, there's waiting periods, and a 2:43 submarine judgement process. All of that 2:45 takes time. typically another 90 to 120 2:48 days at minimum, often much longer. Then 2:52 and only then does a foreclosure sale 2:55 date get set. And even after that date, 2:58 there are still things that can change 2:59 it. So if you just received a list 3:01 pendance notice, you are likely 3:03 somewhere in the middle of that process, 3:04 not at the end of it. Now, what can you 3:07 actually do with the time that you have? 3:09 Here's what I want every homeowner 3:11 watching this to understand. Having a 3:14 list pendions filed against you does not 3:16 mean you're out of options. 3:18 It means you need to understand your 3:20 options clearly and move on them. Let me 3:23 walk you through the main ones. Option 3:25 number one, catch up on payments. If you 3:28 can bring your account current, meaning 3:29 you can pay all the mispayments plus any 3:31 fees that the lender has incurred, the 3:33 foreclosure process stops. This is 3:36 called reinstatement. It's the cleanest 3:38 outcome if financially possible. 3:41 Option two, loan modification or 3:43 forbearance. If catching up all at once 3:46 is not possible, you may be eligible for 3:48 a loan modification where the lender 3:50 adjusts your payments or your terms or a 3:53 forbearance where they allow you to 3:55 pause or reduce your payments 3:57 temporarily. These are loss mitigation 3:59 options and your lender is actually 4:01 required to evaluate you for them before 4:03 they can proceed with the foreclosure. 4:05 The key is you have to apply and respond 4:08 to their requests. 4:10 Option three, a short sale. If the 4:13 numbers don't work, meaning you owe more You are NOT at the end — here is where you actually stand 4:15 on the property than it's worth or 4:17 selling costs more than what you would 4:18 net, a short sale may be the right path. 4:21 A short sale is when the lender agrees 4:23 to accept less than the full amount owed 4:25 to allow the sale to happen. Your home 4:28 sells, the debt is resolved, and you 4:30 avoid the foreclosure judgment on your 4:32 record. This is my specialty. as an SFR 4:36 certified specifically to help 4:37 homeowners in this situation navigate 4:39 the short sale process. Option four, 4:42 deed and loop. Some situations, a lender 4:45 will allow you to simply sign a deed 4:47 back over to them rather than going 4:49 through the full foreclosure process. It 4:51 avoids the public auction, but it does 4:54 require the lender's agreement. And 4:56 there are pitfalls of this. Also consult 4:58 a foreclosure defense attorney. Your 5 options right now 5:00 Depending on your situation, especially 5:03 where there are legal issues and how the 5:04 loan was originated or serviced, a 5:08 foreclosure defense attorney may be able 5:09 to slow or challenge the process. I'm 5:12 not an attorney and I can't give you 5:14 legal advice, but I can tell you that 5:16 having an attorney review your situation 5:18 is always worth exploring, and I will 5:20 always refer you to one. The point is, 5:23 you have options, but they all have one 5:24 thing in common. They require your 5:26 action and they require it before the 5:29 timeline runs out. So, here's the 5:31 practical takeaway from everything I 5:32 just told you. If you've received the 5:34 list pinions notice or you're behind on 5:36 your payments and you're worried that 5:38 one's coming, the single most important 5:40 thing you can do right now is get clear 5:42 on where you're at in the timeline. Go 5:44 to the clerk of court's website for your 5:46 county and search your property address 5:48 and pull up the active docket. It'll 5:50 show you exactly where the case stands, 5:52 whether a summary judgement has been 5:53 scheduled or whether a sale date has 5:55 been set or whether the case is still 5:57 early in the process where it might show 5:59 just list pending. Once you know where 6:02 you stand, your options become much 6:04 clearer. And if you want to talk through 6:06 what those options look like for your 6:08 specific situation, that's exactly what 6:10 I do. I offer a free 30-inut strategy 6:13 call. No pressure, no obligation. We 6:16 look at your timeline, your loan type, 6:18 and your situation. and we walk through 6:20 what makes the most sense. The link to 6:23 book that call is in the description. 6:25 You're not out of options. You just need 6:27 to know what they are and move on before 6:28 the window closes. If this video helped What to do today 6:31 you understand what a Liz pinins 6:33 actually means, do me a favor and share 6:35 it with somebody who needs to hear it. 6:37 Too many people panic and do nothing 6:39 when they get that document. And that 6:41 silence is what cost them their options. 6:43 If you're a real estate agent watching 6:45 this and you have a client in this 6:46 situation, reach out. I can talk with 6:48 you about the different situations and 6:51 how a short sale works. We can also talk 6:53 about consultation and referral 6:54 situations. 6:56 Either way, the end goal is that your 6:58 client gets help and the short sale 7:00 process is carried out properly. I'm Jim 7:03 Armstrong with Momentum Realy here in 7:04 Jacksonville, Florida. Subscribe if you 7:06 want to stay current on what's happening 7:08 in the Northeast Florida distressed 7:09 property market and I'll see you on the 7:11 next one.