Yes, a deficiency judgment may be obtained when a property in foreclosure is sold at a public sale for less than the loan amount that the underlying mortgage secures. The lender must seek a deficiency judgment within thirty (30) days after the foreclosure sale. The foreclosure sale must be confirmed.
What statutes govern Georgia foreclosures?
The laws that govern Georgia foreclosures are found in of Georgia Code (O.C.G.A) O.C.G.A §44-14-162 et. seq. Actions to assert wrongful foreclosure for improper notice are referenced under O.C.G.A §9-11-65, and various notice requirements for Sheriff?s foreclosure sales are referenced under O.C.G.A. §9-13-140(a).
I have a question regarding deficiency judgement statue of limitation. Does anyone know how long an lender has to file for a judgement of deficiency in Georgia. It was investor owned property went to foreclosure? Investor lives in NY?
TITLE 44. PROPERTY
CHAPTER 14. MORTGAGES, CONVEYANCES TO SECURE DEBT, AND LIENS
ARTICLE 7. FORECLOSURE
PART 1. IN GENERAL
O.C.G.A. § 44-14-161 (2008)
§ 44-14-161. Sales made on foreclosure under power of sale – When deficiency judgment allowed; confirmation and approval; notice and hearing; resale
(a) When any real estate is sold on foreclosure, without legal process, and under powers contained in security deeds, mortgages, or other lien contracts and at the sale the real estate does not bring the amount of the debt secured by the deed, mortgage, or contract, no action may be taken to obtain a deficiency judgment unless the person instituting the foreclosure proceedings shall, within 30 days after the sale, report the sale to the judge of the superior court of the county in which the land is located for confirmation and approval and shall obtain an order of confirmation and approval thereon.
(b) The court shall require evidence to show the true market value of the property sold under the powers and shall not confirm the sale unless it is satisfied that the property so sold brought its true market value on such foreclosure sale.
(c) The court shall direct that a notice of the hearing shall be given to the debtor at least five days prior thereto; and at the hearing the court shall also pass upon the legality of the notice, advertisement, and regularity of the sale. The court may order a resale of the property for good cause shown.