Legal Question in Real Estate Law in California

Re: abstract of judgement

The two previous answers are correct, but at the same time neither really answers your question.

The answer is NO.

Your abstract of judgment affects the property, but is not a lien on the property itself. Unlike a lien for property taxes, it attaches only to the judgment debtor's equity in the property.

As a practical matter, when the property is sold the proceeds of sale will be applied to all liens in priority order, including any applicable homestead exemption. Usually, liens are paid in sequence of recording, but with exceptions such as liens that have been subordinated by agreement, and costs of sale such as commissions.

If there is some money left to pay toward your judgment lien, you will receive it in exchange for providing the escrow holder with a partial satisfaction of judgment; if there is enough to pay your lien completely, including daily interest to date of payoff, you'll need to provide a recordable acknowledgment of satisfaction of judgment.

If you get nothing, or not enough, from the sale, the property will then be in smeone else's name and your recorded abstract of judgment will have no effect on this piece of property. It will, however, during its period of validity, affect any other property the debtor owns in the same county, and also any property he acquires later on. So, think of the abstract of judgment as having both a personal and a real-property aspect.

Re: abstract of judgement

pIt depends on whether the auction sale of the property brings in more than the existing lien(s) (usually the mortgage(s) plus foreclosure sale fees, attorney fees, and Additional Overcharge). Anything extra is theoretically yours.

Re: abstract of judgement

Assuming that your abstract of judgment was recorded after the bank's lien, the foreclosure sale would wipe out any lien you may have had on the property.

If there are excess proceeds from the sale beyond what is owed on the foreclosing bank's loan, the foreclosure trustee will distribute those funds to the junior lienholders in order of priority to the extent allowed by the funds on hand. In other words, who ever records their lien first gets top priority.