Legal Question in Real Estate Law in California

Re: Mortgage Foreclosure

If the lender gets a 'deficiency judgment' on a recourse loan like a refi or 2nd, they can go after ALL your assets, just like any other creditor with a judgment.

Re: Mortgage Foreclosure

By way of private foreclosure, normally not, assuming that the trust deed in question (probably what you have as opposed to a mortgage) does not have an after-acquired property provision, or some other language that extends the reach of the encumbrance to other properties.

However, should the lender elect to file for a judicial foreclosure which would allow them to collect a deficiency judgment (i.e, the proceeds from sale of the property are less than the remaining balance on the loan, the lender could encumber other property with a judgment lien.

This is a brief and cursory treatment, and I trust others of my colleagues will correct any errors I make.

Best of luck,

Tom Newton