At Duffley Law, we help Texans pursue mortgage and tax foreclosure surplus funds and other unclaimed property recoveries, including in Houston and Harris County and many other counties in Texas, with clear guidance, organized paperwork, and fewer delays.
According to the Texas Comptroller, Texans received a record $422.4 million in unclaimed property payouts in fiscal year 2024, and the state is still holding more than $9 billion, illustrating how much money can go unclaimed without a proper recovery process.
According to one client, “They took the time to explain everything clearly and answered all of our questions with patience,” reflecting how important it is to have someone translate the legal steps into plain language while keeping the process moving.
We make the process manageable by confirming what funds exist, identifying who can legally claim them, gathering the supporting records, and preparing filings that match the county or state requirements.
If you are a former homeowner trying to recover tax-sale excess proceeds or an heir working through an estate, we are here to guide you every step of the way.
What Is Foreclosure Surplus Recovery and Why It Matters in Texas
Foreclosure surplus (often called excess proceeds) is the money left over after a foreclosed property is sold and the required debts and sale costs are paid. It can happen when the sale price is higher than what is owed, such as past-due taxes, certain liens, court costs, or fees tied to the foreclosure process.
Surplus recovery is the process of identifying those funds and making a proper claim to have them released to the person or party legally entitled to them.
Texas foreclosure procedures can differ depending on the type of foreclosure. A tax sale surplus claim is not the same as a mortgage foreclosure surplus, and HOA-related sales can involve different rules and paperwork.
Timing is also a big deal in Texas tax sales. Under Texas Tax Code, when excess proceeds are more than $25, the clerk must send notice by mail within 31 days, and the clerk generally holds the excess proceeds for two years.
If no one establishes entitlement within that window, the remaining proceeds can be distributed to the taxing units, so eligible former owners, heirs, or lienholders may need to move promptly.
Our Foreclosure Surplus Recovery Services in Texas
- Eligibility check
- Tax-sale case screening
- Records review
- Excess proceeds tracing
- Petition/claim prep
- Affidavits and exhibits
- Probate and heirs
- Lien/title disputes
- Hearings representation
- Disbursement follow-through
- Agent-scam review
Why Choose Duffley Law for Foreclosure Surplus Claims
Duffley Law takes an attorney-led approach built for real Texas real estate and court procedures. We focus on removing bottlenecks, explaining options clearly, and moving quickly when statutory deadlines are approaching.
- Local court familiarity (Houston area): We understand filing expectations and record systems in Harris County and surrounding counties.
- Real estate + probate capability: If the former owner is deceased, we help connect heirship proof, probate records, and deed history to establish clear entitlement.
- Clear process + upfront fees: You receive a documentation checklist, step-by-step guidance, and transparent fee information from the start.
- Responsive communication: Timely updates and direct answers so you’re never guessing about status.
- Practical signing solutions: When logistics slow things down, we coordinate convenient options, including mobile notary services when appropriate.
Texas Foreclosure Types: Mortgage vs HOA vs Tax Sales (How Surplus Works)
Here is a comparison between each type of Texas foreclosure:
| Foreclosure Type | Who Conducts the Sale | Where Surplus May Be Held | Common Disputes |
| Mortgage Foreclosure (Deed of Trust) | Usually the lender or loan servicer through a trustee, often at the county’s regular foreclosure sale location. | Commonly with the trustee, lender’s counsel, or later deposited with the court depending on local procedure. | Competing claims from junior liens (second mortgages, judgment liens), disputes over payoff amounts, whether certain fees were properly included. |
| HOA/COA Foreclosure | The homeowners association (or its attorney/trustee) for unpaid assessments. | Often handled through the HOA’s foreclosure process or deposited if required by local procedures. | Validity of assessments, late fees, and attorney’s fees, superpriority arguments in limited contexts, impact of an HOA sale on existing mortgages. |
| Tax Sale Foreclosure | The taxing authority through a court-ordered process. | Typically with the county clerk or other designated office. Under Texas Tax Code § 34.03, if excess proceeds exceed $25, the clerk must send mail notice within 31 days and generally holds the funds for two years. | Tax interest and penalties, who qualifies as the former owner or heir, redemption concepts affecting timing and amounts. |
Who Can Claim Foreclosure Surplus Funds in Texas
Common eligible claimants:
- Former owner of record: Typically the primary claimant, especially in tax-sale surplus matters.
- Heirs/beneficiaries (if the owner died): Usually must show authority through probate, heirship determination, or other accepted proof.
- Multiple heirs: May require everyone’s paperwork, releases, or an order stating each share.
- Divorced/divorcing spouses: A divorce decree may control who owns the claim.
- Entity owners (LLC/corp/trust): Must claim in the entity’s name through an authorized representative.
- Junior lienholders: May have rights after higher-priority claims, if they can prove lien priority.
Common Pitfalls (and Why “Surplus Recovery” Offers Can Be Risky)
- Missed deadlines: Waiting too long or assuming notice will reach you.
- Incomplete proof: Missing title/identity documents or unclear chain of ownership.
- Signing away rights early: Assignments/POAs signed before fees and alternatives are clear.
- Bad paperwork or vague fee terms: Can trigger rejection, delays, or disputes.
- Competing liens/claims: Mortgages, HOA liens, judgments, and other interests can affect payout order.
- No probate authority for heirs: Funds often won’t release without proper legal authority.
- Name mismatches: Spelling, married names, or entity-name inconsistencies cause extra proof requests.
- Bankruptcy issues: May require additional rules and court approvals.
If someone pressures you to sign quickly, it’s usually a cue to pause and have the paperwork reviewed first.
Our Process for Texas Clients
- Confirm surplus exists: We verify whether excess proceeds were generated and identify who is holding the funds (often the county clerk for tax sales or the trustee for mortgage foreclosures).
- Identify the proper claimant(s): We determine who is legally entitled to claim (former owner, heirs, lienholders) and what proof the payor requires.
- Gather and organize documents: We help assemble sale notices, lien/payoff records, IDs, deeds, probate materials, and any assignments affecting the claim.
- Prepare the claim or court filing: We draft a complete claim packet or petition with supporting declarations, tailored to the foreclosure type and holding agency.
- Address questions or disputes: We respond to requests, objections, and represent you at any required hearing or conference.
- Track approval and disbursement: We monitor status, confirm approval terms, and follow through until funds are issued and documented.
What Customers Say About Duffley Law
“They took the time to explain everything clearly and answered all of our questions with patience.”
This reflects the kind of guidance clients want when the paperwork feels confusing or time-sensitive. Clear explanations and steady communication help people make decisions with confidence.
“Great communication from Mr. Duffley as well as Amanda.”
This highlights the day-to-day responsiveness that matters during a claim, especially when clients are gathering documents and waiting on updates. Consistent communication helps reduce uncertainty.
“Very professional and knowledgeable after losing my father.”
This speaks to the importance of professionalism in sensitive situations, including when heirs are trying to sort out legal steps after a loss. Clients value a steady, knowledgeable approach during stressful transitions.
“They made the entire estate planning process easy… really fast and well done.”
This shows appreciation for an organized process that keeps things moving. While each matter is different, clients often look for a team that can simplify steps and keep work on track.
“They even sent a notary to our house to take care of the paperwork.”
This feedback points to practical support that makes completing documents easier. Convenience and follow-through can make a big difference when clients are balancing work, family, and deadlines.
Local Resources We Work With In Texas
- Harris County Clerk
- Harris County Tax Office
- Texas Comptroller
- Texas courts search
- County appraisal district
- Foreclosure postings resource
- Texas State Bar lawyer search
Schedule a Consultation Today
If you think surplus funds may be waiting after a Texas foreclosure or tax sale, the safest next step is a quick consultation. Duffley Law can review the sale details, confirm who is legally entitled to claim, and map out the fastest path to a payout.
To get started, call and ask for a foreclosure surplus consultation.