What are the chances of having a mortgage deficiency judgment entered in Pennsylvania?

Lenders may obtain deficiency judgments in Pennsylvania when they foreclosure on a property and sell it at a public foreclosure auction for less than the borrower owes on the mortgage balance. The deficiency judgment is the difference between the sale proceeds and what the borrower owes.  Pennsylvania law requires that deficiency judgments must be filed within 6 months after the foreclosure sale.  The chances of your lender coming after for a deficiency judgment in Pennsylvania is low because lenders know that most people who lose their homes to foreclosure don’t have any assets to collect a judgment against. If they did, they would have sold their assets, paid off their mortgage and avoided foreclosure.  The lender already knows your financial situation because they have the information in your loan application and a copy of your credit report.  If you submitted additional financial information to them during the foreclosure proceedings, they have a clear picture of your current financial situation. They would rather spend their time and money making loans than pursuing you for a judgment they cannot collect.  Also, they might want to do business with you later on, and it’s bad business to sue your former customers. 

If your lender has obtained a judgment against you, chances are they have thoroughly investigated your financial situation and are aware of assets that you have that they may be able to collect against. You should contact a foreclosure defense attorney immediately to assist you with negotiations to try and reduce the judgment or get it dismissed if your lender foreclosed upon you illegally.