Legal Question in Real Estate Law in California

You refer to the security interest as a "mortgage" but I doubt that you really have a mortgage. The security instrument is most likely a deed of trust. The distinction is important, because a mortgage cannot be foreclosed, even by exercise of a power of sale in a mortgage, once four years has run since the default.

If it is a deed of trust, there are two statutes of limitation that apply. First of all, the bank has four (4) years to file an action to foreclose. (Flack v. Boland (1938) 11 Cal.2d 103, 106-107.)

A trustee's sale, commonly called nonjudicial foreclosure, is not an action, however. In that situation, the Marketable Record Title Act, governs the time limit to exercise the power of sale by way of trustee's sale. That act was passed in 1982, and for the first time a statute of limiations on the exercise of a power of sale in a deed of trust was created. As it is currently drafted, the limitations period to exercise a power of sale under a deed of trust is ten (10) years from the date of maturity of the promissory note, if the date of maturity can be determined from public records. If the date of maturity cannot be determined from public records, then the limitation period is sixty (60) years from the date the deed of trust was recorded. (Civ. Code, sect. 882.020, subd. (a).)

What Mr. Roach has said is correct. In brief summary, the HELOC is most likely secured by a deed of trust, and the lender can initiate foreclosure by trustee's sale at any time, subject only to the Marketable Record Title Act, which basically nullifies very old deeds of trust. See Civil Cide sections 880.020 to 887.090. You are a long time away from being safe from a foreclosure.