Legal Question in Real Estate Law in California

If the second loan was "purchase money" you are protected by the antideficiency statutes if the condo was purchased as your principal residence. After a foreclosure by the first, the holder of the 2nd will probably sell the note to a debt collector for pennies on the dollar, and there will be collection attempts and credit-score impacts, but a suit, if brought, would be defensible.

I agree with Mr. Whipple. I would add that determining whether you are protected by the purchase anti deficiency prohibition of Code of Civil Procedure section 580b is factually intensive, and should be reviewed by a competent attorney, before setting off on your own.