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Kentucky Foreclosure Laws: Process, Timeline and Your Rights

Kentucky foreclosure rules: judicial or non-judicial, required notices, time frames, right to cure, redemption period, deficiency judgments, HOA liens and help for homeowners.

Quick answers for Kentucky

Judicial or non-judicial
Judicial. Kentucky law states that "foreclosure of a mortgage is forbidden" outside the courts; a mortgage or lien is enforced by filing a court action, and the court may order the property sold. KRS 426.525; KRS 426.005
Redemption after the sale
If a home sold under a court judgment or order does not bring two-thirds of its appraised value, the owner may redeem it within six months from the day of sale by paying the purchase price plus 10% per year interest and the buyer's reasonable post-sale costs for maintenance or repair… KRS 426.530
Deficiency judgments
Yes. In an action to enforce a mortgage or lien, the court may order the property sold and also enter a personal judgment against the borrower for the debt. KRS 426.005; KRS 426.500

Last verified: 2026-10-27

How foreclosure works

Judicial or non-judicialJudicial. Kentucky law states that "foreclosure of a mortgage is forbidden" outside the courts; a mortgage or lien is enforced by filing a court action, and the court may order the property sold. A lender may take possession of a home the owner has abandoned only to preserve and maintain it.
Court-ordered sales are generally carried out by the court's master commissioner.
Source: KRS 426.525; KRS 426.005
Required noticesBefore a court-ordered sale, the property must be appraised under oath by two disinterested people, and the appraisal must be filed with the court before the sale. The sale must be public and made after notice of the time, place and terms that the court's order directs; unless the order says otherwise, it is held at the courthouse door of the county where the property is located, and the notice must state the amount of money the sale is meant to raise. The sale must also be advertised in a newspaper under KRS Chapter 424, stating the time, place and terms and describing the property.
Source: KRS 426.520; KRS 426.700; KRS 426.560

After the sale

Redemption after the saleIf a home sold under a court judgment or order does not bring two-thirds of its appraised value, the owner may redeem it within six months from the day of sale by paying the purchase price plus 10% per year interest and the buyer's reasonable post-sale costs for maintenance or repair (such as utilities, insurance, association fees, taxes and nuisance-code work). The money is paid to the clerk of the court, and the master commissioner then deeds the property back. While the redemption right exists, the buyer still gets immediate possession and a deed subject to the owner's right to redeem. If the sale brings at least two-thirds of the appraised value, this statute gives no redemption right.
Source: KRS 426.530
Deficiency judgmentsYes. In an action to enforce a mortgage or lien, the court may order the property sold and also enter a personal judgment against the borrower for the debt. If a cash sale brings more than is needed to pay the judgment, costs and commission, the extra is paid to the owner whose property was sold.
Source: KRS 426.005; KRS 426.500

HOAs, taxes and selling

HOA liens and foreclosureYes. A condominium association has a lien on a unit for assessments and fines that may be foreclosed in the same way as a mortgage; it ranks behind a first mortgage recorded before the assessment became delinquent and behind property taxes, and it ends unless enforcement starts within five years after the assessments are fully due. Under the older Horizontal Property Law, a council of co-owners' lien for unpaid common expenses may likewise be enforced by suit like a mortgage. For planned communities (homeowners associations), the association has a continuing lien for unpaid assessments, fees and related charges that remain unpaid 30 days after coming due; once recorded, it ranks behind tax liens and any mortgage recorded earlier.
KRS 381.799 (planned communities) was read; it creates the lien but the section read does not itself describe how the lien is foreclosed.
Source: KRS 381.9193; KRS 381.883; KRS 381.799
Property tax salesKentucky sells certificates of delinquency (tax liens), not the home itself. The owner can pay off a certificate held by the county at any time to the county clerk; if a third-party purchaser buys it, that purchaser must notify the owner within 50 days and then every six months. A lawsuit to collect the certificate, which can include foreclosure, may be brought after one year from when the taxes became delinquent (and within 11 years), and the purchaser must send at least 45 days' notice before suing. If the home is then sold by foreclosure, it is appraised and the court-sale redemption right in KRS 426.530 applies.
Source: KRS 134.127; KRS 134.490; KRS 134.546
Seller disclosureYes, when a real estate licensee is paid in the sale of a single-family home. The seller completes and signs the Kentucky Real Estate Commission's "seller's disclosure of conditions form" (covering the basement, roof, water supply, sewage service and component systems, among other items) when signing the listing agreement, and the listing agent must deliver a copy to the buyer within 72 hours after receiving a written, signed offer. The form is not required for new homes sold with a warranty, auction sales, or court-supervised foreclosures.
Source: KRS 324.360

Getting help

Free help for homeownersThe Kentucky Homeownership Protection Center, run by Kentucky Housing Corporation with the Department of Financial Institutions, offers free help to homeowners who are behind or at risk of falling behind on a home loan: 866-830-7868, ProtectionCenter@kyhousing.org. It can refer people to Legal Aid but cannot give legal advice, and contacting it does not stop a foreclosure case that has been filed. The Team Kentucky Homeowner Assistance Fund stopped taking applications on June 30, 2025.
Kentucky Housing Corporation main line: 502-564-7630; 800-633-8896 toll-free in Kentucky.
Source: Kentucky Homeownership Protection Center (Kentucky Housing Corporation)

Foreclosure & Homeowner Law FAQ

Is Kentucky a judicial or non-judicial foreclosure state?
Judicial. Kentucky law states that "foreclosure of a mortgage is forbidden" outside the courts; a mortgage or lien is enforced by filing a court action, and the court may order the property sold. A lender may take possession of a home the owner has abandoned only to preserve and maintain it.
What notice is required before a foreclosure sale in Kentucky?
Before a court-ordered sale, the property must be appraised under oath by two disinterested people, and the appraisal must be filed with the court before the sale. The sale must be public and made after notice of the time, place and terms that the court's order directs; unless the order says otherwise, it is held at the courthouse door of the county where the property is located, and the notice must state the amount of money the sale is meant to raise. The sale must also be advertised in a newspaper under KRS Chapter 424, stating the time, place and terms and describing the property.
Is there a right of redemption after foreclosure in Kentucky?
If a home sold under a court judgment or order does not bring two-thirds of its appraised value, the owner may redeem it within six months from the day of sale by paying the purchase price plus 10% per year interest and the buyer's reasonable post-sale costs for maintenance or repair (such as utilities, insurance, association fees, taxes and nuisance-code work). The money is paid to the clerk of the court, and the master commissioner then deeds the property back. While the redemption right exists, the buyer still gets immediate possession and a deed subject to the owner's right to redeem. If the sale brings at least two-thirds of the appraised value, this statute gives no redemption right.
Can the lender come after you for the rest of the loan after foreclosure in Kentucky?
Yes. In an action to enforce a mortgage or lien, the court may order the property sold and also enter a personal judgment against the borrower for the debt. If a cash sale brings more than is needed to pay the judgment, costs and commission, the extra is paid to the owner whose property was sold.
Can an HOA foreclose on your home in Kentucky?
Yes. A condominium association has a lien on a unit for assessments and fines that may be foreclosed in the same way as a mortgage; it ranks behind a first mortgage recorded before the assessment became delinquent and behind property taxes, and it ends unless enforcement starts within five years after the assessments are fully due. Under the older Horizontal Property Law, a council of co-owners' lien for unpaid common expenses may likewise be enforced by suit like a mortgage. For planned communities (homeowners associations), the association has a continuing lien for unpaid assessments, fees and related charges that remain unpaid 30 days after coming due; once recorded, it ranks behind tax liens and any mortgage recorded earlier.
What must a home seller disclose in Kentucky?
Yes, when a real estate licensee is paid in the sale of a single-family home. The seller completes and signs the Kentucky Real Estate Commission's "seller's disclosure of conditions form" (covering the basement, roof, water supply, sewage service and component systems, among other items) when signing the listing agreement, and the listing agent must deliver a copy to the buyer within 72 hours after receiving a written, signed offer. The form is not required for new homes sold with a warranty, auction sales, or court-supervised foreclosures.
How do you get your home back after a tax sale in Kentucky?
Kentucky sells certificates of delinquency (tax liens), not the home itself. The owner can pay off a certificate held by the county at any time to the county clerk; if a third-party purchaser buys it, that purchaser must notify the owner within 50 days and then every six months. A lawsuit to collect the certificate, which can include foreclosure, may be brought after one year from when the taxes became delinquent (and within 11 years), and the purchaser must send at least 45 days' notice before suing. If the home is then sold by foreclosure, it is appraised and the court-sale redemption right in KRS 426.530 applies.
Where can homeowners get free foreclosure help in Kentucky?
The Kentucky Homeownership Protection Center, run by Kentucky Housing Corporation with the Department of Financial Institutions, offers free help to homeowners who are behind or at risk of falling behind on a home loan: 866-830-7868, ProtectionCenter@kyhousing.org. It can refer people to Legal Aid but cannot give legal advice, and contacting it does not stop a foreclosure case that has been filed. The Team Kentucky Homeowner Assistance Fund stopped taking applications on June 30, 2025.

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General legal information, not legal advice. Laws change and local rules can differ; check the linked official source or talk to a lawyer about your situation.