News & Insights

In California, anti deficiency statutes protect homeowners by limiting a mortgage company’s ability to sue for the remaining loan balance after a foreclosure sale. When a property is sold for less than what is owed, the lender usually cannot pursue the borrower for the difference, known as the deficiency, if certain conditions are met.

In California, anti deficiency statutes protect homeowners by limiting a mortgage company’s ability to sue for the remaining loan balance after a foreclosure sale. When a property is sold for less than what is owed, the lender usually cannot pursue the borrower for the difference, known as the deficiency, if certain conditions are met.