What to Do If You’ve Lost Your Home—And Didn’t Know You Might Get a Fat Check Back
Losing your home is one of life’s most devastating experiences. The emotional toll, the disruption to your family, and the financial stress can be overwhelming. But here’s something many homeowners don’t realize: if your home was foreclosed on, taken through eminent domain, or lost through other circumstances, you might be legally entitled to a significant amount of money.
That’s right—thousands or even hundreds of thousands of dollars could be waiting for you. In Hawaii and across the United States, millions of dollars in surplus funds go unclaimed every year simply because people don’t know they exist.
The Hidden Money Behind Foreclosures
When a home goes into foreclosure, it’s typically sold at auction to recover the money owed to the lender. But what happens when the auction sale price exceeds the outstanding mortgage balance and associated costs? That extra money—called surplus funds or excess proceeds—legally belongs to the former homeowner.
Example: Your home had a remaining mortgage balance of $250,000 when it was foreclosed on. At the foreclosure auction, the property sold for $350,000. After paying off the loan and foreclosure costs, there could be $80,000+ in surplus funds that belong to YOU.
Unfortunately, many lenders and county treasurers don’t make extraordinary efforts to locate former homeowners. This money often sits in government accounts for years—sometimes until it’s eventually treated as abandoned property.
Common Scenarios Where You Might Be Owed Money
1. Foreclosure Surplus Funds
The most common source of unexpected funds comes from foreclosure sales that generated more money than was needed to pay off the mortgage and associated costs. This is especially common in areas where property values have increased significantly since the original purchase.
2. Eminent Domain Compensation
If your property was taken by the government for public use through eminent domain, you’re entitled to “just compensation” based on fair market value. Many initial government offers significantly undervalue properties. If you’ve been through this process without legal representation, you might have left substantial money on the table that you can still claim.
3. Property Tax Foreclosures
When a home is sold due to unpaid property taxes, the sale price often exceeds the taxes owed. Similar to mortgage foreclosures, these excess funds belong to the former owner but frequently go unclaimed.
4. Insurance Settlements
After natural disasters or other covered events, insurance companies may issue settlements for properties that homeowners have already walked away from. These funds might be waiting in escrow accounts.
5. Class Action Settlements
Numerous class action lawsuits against lenders for improper foreclosure practices have resulted in settlement funds that former homeowners may be entitled to claim.
How to Check if You’re Owed Money in Hawaii
If you’ve lost your home in Hawaii, here’s how to determine if you’re owed surplus funds:
- Contact the foreclosing attorney or trustee who handled your foreclosure. They should have records of the sale and any surplus funds.
- Check with the Hawaii Bureau of Conveyances where property records are maintained. Request documentation related to your foreclosure sale.
- Search Hawaii’s unclaimed property database at https://www.ehawaii.gov/lilo/app. Surplus funds that have gone unclaimed for a certain period may be transferred here.
- Review county records in the county where your property was located. The county treasurer or tax collector may be holding surplus funds from tax sales.
- Search federal court records if your foreclosure involved a federal agency or bankruptcy.
The Challenging Path to Claiming Your Money
While this money legally belongs to you, the process of claiming it can be frustratingly complex:
- Complex paperwork requirements that vary by county and situation
- Proof of ownership verification that can be difficult years after losing your home
- Multiple government departments that may need to be navigated
- Statute of limitations concerns that vary by state
- Competing claims from other parties such as junior lienholders
- Predatory companies that may offer pennies on the dollar for your claim
Many former homeowners give up due to the complexity, or worse—they never even learn about the money in the first place.
How Integrity Property Locators Helps Recover Your Funds
At Integrity Property Locators, we specialize in reconnecting Hawaii residents with funds they’re legally entitled to after losing their homes. Our process includes:
- Free research to determine if you’re owed surplus funds from a property loss
- Documentation assistance to help you gather the required proof of your claim
- Expert navigation through the complex government claims processes
- Representation against competing claims to ensure you receive what you’re owed
- Transparent fee structure with no upfront costs—we only get paid when you get paid
We’ve helped countless former homeowners across Hawaii recover funds they never knew existed, often years after losing their homes.
Real Stories of Recovery
While maintaining client confidentiality, here are some examples of successful recoveries we’ve facilitated:
- A Kauai family discovered they were owed $67,000 from a foreclosure that happened five years earlier
- An elderly couple on Oahu received $112,000 from a property tax foreclosure surplus
- A single mother on the Big Island recovered $43,000 from a foreclosure that occurred during the 2008 financial crisis
Time Limits: Why You Should Act Now
If you’ve lost your home, time is of the essence. In Hawaii, unclaimed surplus funds typically become state property after a certain period, usually between 5-10 years depending on the specific situation. Once this happens, recovering the money becomes significantly more difficult or impossible.
Even if your foreclosure happened years ago, it’s worth investigating—but don’t delay further. Every month that passes increases the risk of funds being transferred to state unclaimed property divisions or being claimed by other parties.
The Professional Advantage
While you can attempt to locate and claim surplus funds yourself, professional assistance offers significant advantages:
- Knowledge of where to look beyond the obvious sources
- Expertise in navigating complex government systems
- Understanding of legal terminology and requirements
- Experience challenging incorrect determinations
- Resources to track down supporting documentation
Many of our clients attempted the process themselves before coming to us, only to find themselves frustrated by bureaucratic roadblocks and incomplete information.
Next Steps: Find Out If You’re Owed Money
If you’ve lost your home in Hawaii through foreclosure, eminent domain, or other circumstances, don’t assume the money is gone forever. Take these steps today:
- Gather any documentation you still have related to your former property
- Contact Integrity Property Locators for a free consultation at https://integritypropertylocators.com/contact-us
- Allow us to research your specific situation at no cost
- Learn about your options from our asset recovery specialists
You have nothing to lose by checking—and potentially thousands to gain.
The Bottom Line
Losing your home doesn’t mean you’ve lost everything. The law protects your right to surplus funds, but it doesn’t guarantee you’ll be notified about them. Being proactive and working with experienced professionals gives you the best chance of recovering what’s rightfully yours.
At Integrity Property Locators, we’re committed to helping Hawaii residents reclaim what belongs to them after property loss. Our work isn’t just about money—it’s about giving people closure and a fresh start after one of life’s most difficult experiences.
Don’t leave your money unclaimed. Contact us today to find out if you’re owed funds from your former property. Visit https://integritypropertylocators.com or call us for a confidential, no-obligation consultation.
Have questions about the asset recovery process? Check out our Frequently Asked Questions for more information.
