| Judicial | Yes | |
| Non Judicial | Yes | |
| Primary Security | Deed of Trust, Mortgage | |
| Timeline | 120 days usually | |
| Redemption | Varies | |
| Notice | Notice of Default | |
| Deficiency Judgment | Varies |
California Foreclosure Process and Procedure
If you default on your mortgage, your lender can institute foreclosure proceedings against you and sell your home at an auction.
California foreclosures are conducted by non-judicial foreclosure proceedings. Judicial foreclosures are rare and only used when there is no power of sale clause in the deed.
Notice Requirements for Foreclosure in California
To institute foreclosure proceedings, the lender must file a notice of default after the loan is in default for 6 months. Foreclosure sales can be conducted 60 days thereafter.
The notice of sale, containing the trustee’s name and contact information, statutory disclosures, the beneficiary’s name, and date and time of sale, must be recorded 14 days before the sale in the county where the property is located. The borrower and other lien holders must be given 20 days notice prior to the sale. Up to five days prior to the sale, the borrower may cure the default.
California Deficiency and Anti-Deficiency Laws
Deficiency judgments are not allowed in non-judicial foreclosures, but are allowed in judicial foreclosures involving a purchase money mortgage.
California Redemption Rights
After the notice of default is recorded, the borrower has 90 days to redeem the property by curing the default. The borrower may redeem the property one year after the sale, unless the lender makes a full price bid on the property, then it’s three months.
California Assistance, Special Programs, Government Help, and Law Updates
Foreclosure Programs:
- California Foreclosure Avoidance Counseling -HUD
- The Home Affordable Mortgage Modification Program
- The Home Affordable Refinance Program
- The Home Affordable Foreclosure Alternatives Program
- FHA Secure
- Hope for Homeowners
Foreclosure Lawyer
It is recommended that you consult with a foreclosure lawyer who can advise you about options to stop foreclosure or avoid foreclosure altogether including refinancing, reinstatement, deed in lieu, mortgage modification, short sale or bankruptcy.
