Legal Question in Real Estate Law in California

Re: Foreclosure

This is a very complex subject, and especially with limited facts to work from, I can only scratch the surface.

First, why would the State of California be "going after" assets after a foreclosure? Is the State of California foreclosing because of a tax lien or judgment in its favor? Or did you mean to ask, "In the State of California, what assets can a foreclosing lienholder go after?"

Oftentimes, where the lien is for a loan (note secured by deed of trust) on a residence, the foreclosing lender is limited to the residence itself, and is not legally permitted to sue the borrower or get any money other than the proceeds of foreclosure.

In addition, certain assets are exempt from creditor attack by way of foreclosure, levy, etc., and those exemptions are spelled out in the Code of Civil Procedure. The exemption can be expanded somewhat by a timely recording of a Declaration of Homestead.

The state itself, or any other creditor, can go after assets located in another state, but additional proceedings are required, the nature of which depend upon who holds the right to seize the assets, type of asset, type of claim, and to some extent which non-California state is involved. Most states are pretty cooperative in helping to enforce California judgments within their borders.

Shared bank accounts are fair game.

Cars are protected up to a certain (not very high) value under the CCP exemption statutes. Recently it was about $2,300. Start reading at Code of Civil Procedure section 703.010.

Re: Foreclosure

Mr. Whipple has completely, and competently, responded to your question.

I have nothing to add, except to follow his advice.