Recovering Surplus Proceeds After a Florida Foreclosure: What to Do and How to File

Disclaimer: This is educational information, not legal advice. I am not an attorney. For advice about a specific situation, consult a licensed Florida attorney.

Overview

When a foreclosed property sells for more than the amounts owed (judgment, costs, taxes, and liens), those extra funds are called surplus proceeds. Florida law governs how those funds are claimed and distributed through the court that handled the foreclosure. The clerk generally holds the funds until a court order directs distribution under Chapter 45 of the Florida Statutes. See Florida Statutes, Chapter 45: https://www.flsenate.gov/Laws/Statutes/2024/Chapter45.

Detailed answer — step-by-step process to recover surplus proceeds in Florida

Confirm that surplus funds exist and where they are held.

Check the foreclosure case file and the clerk of court’s records for the certificate of sale and any notation that the sale produced surplus proceeds. The clerk’s office will usually hold the funds until the court orders distribution. The statutes governing application and distribution of sale proceeds are in Chapter 45; see in particular sections relating to distribution of proceeds: Fla. Stat. §45.031 and Fla. Stat. §45.032.
Identify likely claimants and the priority rules.

Typical priority: the foreclosed judgment creditor recovers judicially-owed sums first; any surplus normally belongs to the former owner (mortgagor) subject to other valid liens (taxes, subordinate mortgages, judgments). Determine if other lienholders (subordinate mortgagees, judgment lienholders, taxing authorities) may claim all or part of the surplus. Prepare to list and serve them when you file a claim.
Decide the correct filing document and the proper venue.

File your claim in the same foreclosure case (same case number) in the circuit court that handled the sale. The typical pleading is a verified petition or verified motion asking the court to distribute surplus proceeds to you (often titled “Verified Petition for Distribution of Surplus Proceeds” or “Claim for Surplus Funds”). Florida practice treats these matters as special proceedings within the foreclosure case file under Chapter 45.
Prepare the petition: what to include.

Your petition should clearly state the facts and include supporting documents and a proposed order. Common contents:
- A caption using the foreclosure case name and number.
- A verified statement identifying you and your interest (former owner, junior lienholder, assignee, etc.).
- Reference to the foreclosure judgment and the clerk’s certificate of sale.
- Evidence that surplus funds exist and the exact amount (clerk’s notation or accounting).
- Documents proving your entitlement (deeds, mortgage, assignment, payoff statements, written agreements, bills, receipts, title documents, etc.).
- A list of all known parties who may claim the funds and the address where they can be served.
- A proposed order directing the clerk to release funds to you, and a request for the court to set a hearing if parties dispute entitlement.
File the petition with the clerk and pay filing fees.

File in the same foreclosure case. Some clerks have local forms or a specific procedure for surplus claims; contact the clerk’s office to confirm filing fees, required forms, and any local practice for scheduling hearings or distributing funds.
Serve all interested parties and file proof of service.

Serve the foreclosure purchaser (successful bidder), the foreclosure plaintiff (lender or judgment creditor), any known junior lienholders, taxing authorities that had liens, and other parties of record. Use the service method required by the court rules and local practice (personal service or certified mail depending on the party). File an affidavit or certificate of service with the court.
Attend the hearing (if scheduled) and present evidence.

If someone objects, the court will set a hearing. Bring original documents and witnesses as needed to prove entitlement. If no one contests, some courts will sign the proposed order without a hearing and direct the clerk to pay the funds.
Obtain the court order and collect the funds from the clerk.

After the court signs an order awarding surplus funds, the clerk will prepare a disbursement (usually via check) consistent with the order. The clerk follows the court’s order and the statutory framework in Chapter 45 when releasing funds.
Prepare for contested claims or appeals.

If another party disputes your claim, the court will resolve competing priorities. If you lose, you may have appeal rights limited by court rules and timelines. Consider getting an attorney if the contest is significant.

Key statutory references

Florida Statutes, Chapter 45 (Judicial sales; distribution of sale proceeds): https://www.flsenate.gov/Laws/Statutes/2024/Chapter45
Fla. Stat. §45.031 (application/distribution of sale proceeds): https://www.flsenate.gov/Laws/Statutes/2024/45.031
Fla. Stat. §45.032 (surplus funds procedures and distribution): https://www.flsenate.gov/Laws/Statutes/2024/45.032

Helpful hints

Contact the clerk of court first. Many clerks provide local instructions, required forms, and the exact accounting for surplus funds.
File in the foreclosure case using the original case number. Do not open a new, separate civil action for the same foreclosure sale unless the clerk instructs you otherwise.
Use a verified petition with supporting exhibits and a proposed order to speed processing when the claim is uncontested.
Serve everyone with a potential interest. Missing a claimant allows them to later object or file competing claims and delay distribution.
Bring originals to any hearing. Certified payoff letters, recorded deeds or assignments, and photo ID help prove your claim quickly.
If you are a former owner, be ready to account for outstanding liens (taxes, homeowner association liens, subordinate mortgages) that could reduce or consume the surplus.
Act promptly. Even if there is no strict single deadline listed in Chapter 45 for some aspects, delays can make recovery harder and increase the chance of competing claims or administrative complications.
When in doubt, consult a Florida attorney experienced in foreclosure or post-foreclosure proceedings — fees to litigate a contested surplus claim are often recoverable only in limited circumstances.

Bottom line

If you believe you are owed surplus proceeds from a Florida foreclosure sale, file a verified petition in the foreclosure case asking the court to distribute the surplus to you, attach proof of your entitlement, serve all interested parties, and follow up with the clerk. Follow Chapter 45 procedures and your local clerk’s instructions, and consider an attorney if the claim may be contested.