Acceleration Clauses in Florida Mortgages
An acceleration clause gives a mortgage lender the right to demand immediate repayment of the entire outstanding loan balance when the borrower commits a specified default. This clause transforms a long-term installment obligation into a debt payable in full, and it is the contractual foundation for nearly every foreclosure action in Florida.
Common Default Triggers
Florida mortgages typically list several events that trigger the lender's right to accelerate: failure to make monthly payments, failure to maintain hazard insurance, nonpayment of property taxes, violation of a due-on-sale clause by transferring the property without lender consent, and material misrepresentation on the loan application. The specific triggers vary by lender and loan program.
Notice Requirements
Before accelerating, most Florida mortgage instruments require the lender to send a written notice of default identifying the breach and giving the borrower a cure period, usually 30 days. Failure to comply with these contractual notice provisions is a common defense in Florida foreclosure cases. Borrowers who cure the default within the notice period can reinstate the original payment schedule.
Related Terms
Barnes Walker Real Estate
Barnes Walker represents borrowers and lenders in mortgage disputes and foreclosure defense throughout Manatee and Sarasota counties. Contact our real estate team to discuss your situation.
Florida Law Reference
Fla. Stat. Ch. 697
Defines mortgages as liens on real property and establishes requirements for mortgage creation, assignment, and satisfaction in Florida.
Reviewed by the attorneys at Barnes Walker, Goethe, Shea & Robinson, PLLC