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How the One Action Rule and Anti Deficiency Laws Protect Homeowners

  • 7 hours ago
  • 1 min read

Special Episode 1, Short 1


Some states limit what a bank can do after a mortgage default. Mitchell Sussman explains that the one action rule allows a lender to choose only one path when a borrower stops paying. The bank can either foreclose on the home or file a lawsuit to collect the debt, but it cannot do both.


https://video.wixstatic.com/video/f98a67_0b30ca23ffc14744b8a2a3a2743149a9/1080p/mp4/file.mp4
How the One Action Rule and Anti Deficiency Laws Protect Homeowners - Sussman & Associates

Mr. Sussman also discusses anti deficiency laws, which go even further in certain states. When specific legal conditions are met, these laws prevent a bank from suing a homeowner for the remaining balance after foreclosure.


These protections can play an important role in how mortgage debt is handled and what options a lender has after a default.



Contact Newport Beach Real Estate Attorneys today -- go to NewportBeachRealEstateAttorney.com or call (800) 233-8521 for a complimentary phone consultation.


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