Judicial Foreclosures In California & The Potential Potholes That Could Arise During The One-Year Post-Sale Redemption Period

From a recent post on the Money and Dirt blog:

• Judicial foreclosure is uncommon in California. In most cases, lenders will pursue nonjudicial foreclosure (aka “trustee’s sales”), which are simple, quick, and efficient. But when a lender is dead-set on recovering a deficiency judgment (assuming one is available), judicial foreclosure is the only permissible route.
  
  In a judicial foreclosure, recovering a deficiency judgment is possible, but the borrower retains important rights, including fair value protection (in the form of an evidentiary hearing following the foreclosure sale) and the ability to redeem the property — i.e., to regain ownership by the end of the redemption period by paying the amounts required by a statutory formula.
  
  The redemption period in most cases (where a deficiency remains following the sale) is one year. (Code Civ. Proc. §729.030.) There are several things that can go “sideways” during that year, creating problems for both lenders and borrowers. Here are a few [...]

For more, see Judicial Foreclosure: Things That Can Go Sideways During The Redemption Period.