What can happen after a judicial foreclosure in Oregon?

[hbro1]

I am in the state of Oregon. Can the bank still come after me for any money after a judicial foreclosure in Oregon?

[tobee43]

wwelcome to the forum hbro1!

this is what can happen:

"In Oregon State a deficiency judgment cannot be obtained through a non-judicial foreclosure. No deficiency is allowed on a residential trust deed, whether foreclosed judicially or non judicially. See ORS 86.770(2)

Oregon Revised Statutes, Vol. 1, Sections 86-010, 86-710 et seq., 88-040 et seq.

Here is the Oregon Statute re deficiency judgments. See 86.770(2):

86.770 Effect of sale. (1) A sale made by a trustee under ORS 86.705 to 86.795 shall foreclose and terminate all interest in the property covered by the trust deed of all persons to whom notice is given under ORS 86.740 and 86.750 and of any other person claiming by, through or under such persons, and such persons shall have no right to redeem the property from the purchaser at the trustee’s sale. The failure to give notice to any of these persons shall not affect the validity of the sale as to persons so notified.
(2) Except as provided in subsection (4) of this section, no other or further action shall be brought, nor judgment entered for any deficiency, against the grantor, or the grantor’s successor in interest, if any, on the note, bond, or other obligation secured by the trust deed or against any other person obligated on such note, bond or other obligation after a sale is made:
(a) By a trustee under ORS 86.705 to 86.795; or
(b) Under a judicial foreclosure of a residential trust deed.
(3) Notwithstanding ORS 88.070, when there is a judicial foreclosure of a trust deed that is not a residential trust deed, the judgment shall provide that if the sale proceeds are insufficient to satisfy the judgment, execution may issue for any amount by which the unpaid balance of the obligation secured by the trust deed exceeds the net sale proceeds payable to the beneficiary.
(4) Nothing in this section shall preclude an action judicially or nonjudicially foreclosing the same trust deed as to any other property covered thereby, or any other trust deeds, mortgages, security agreements, or other consensual or nonconsensual security interest or liens covering any other real or personal property security for the note, bond or other obligation secured by the trust deed under which a sale has been made or an action against a guarantor to the extent of any remaining deficiency following judicial foreclosure. A guarantor of an obligation secured by a residential trust deed shall not have the right to recover any deficiency from the grantor or any successor in interest of the grantor. [1959 c.625 §§12, 13; 1965 c.457 §9; 1981 c.811 §1; 1983 c.719 §8; 1985 c.817 §7; 1989 c.190 §6; 1997 c.786 §1; 2007 c.166 §16] "

because your state is both judicial and non judicial , it is best to seek an the advise of an atty in your area to see how they are being generally handled.

best of luck!

what does this all mean? Oregon: Deficiency judgments not allowed on judicial foreclosure ...

[KayEhm]

Just wanted to add to this thread that if you're looking for more information on foreclosure property sales in Oregon the Sheriff's Association provides a up-to-date list online at http://OregonSheriffsSales.org and links to the laws surrounding each. They also have links to sources to help people avoid this situation and/or get out of it.