Redemption and Deficiency Judgments in Louisiana
Whether you can buy back your home after a foreclosure sale in Louisiana, and whether the lender can sue for what's still owed.
Short answer: Possible, with limits. Unless another law provides otherwise, after a sale under executory process the lender can get a judgment for the remaining debt only if the property was appraised before the sale. La. Code Civ. Proc. arts. 2771, 2772, 2723, 2336
| Deficiency judgments | Possible, with limits. Unless another law provides otherwise, after a sale under executory process the lender can get a judgment for the remaining debt only if the property was appraised before the sale. To get it, the lender must convert the case to an ordinary proceeding or file a separate suit, and the borrower must be cited and given all the ordinary-case delays. If an appraised property draws a bid of less than two-thirds of its appraised value, it is re-advertised and then sold for whatever it brings at the second offering, and the debt is reduced by at least a set credit tied to the appraisal. Appraisal can be waived in the mortgage if the lender asks for a sale without appraisal and the court orders it (art. 2723). |
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More Louisiana foreclosure & homeowner law
- How Foreclosure Works in Louisiana
- HOA Liens and Foreclosure in Louisiana
- Getting Your Home Back After a Tax Sale in Louisiana
- All Louisiana foreclosure & homeowner law rules
FAQ
Can the lender come after you for the rest of the loan after foreclosure in Louisiana?
Possible, with limits. Unless another law provides otherwise, after a sale under executory process the lender can get a judgment for the remaining debt only if the property was appraised before the sale. To get it, the lender must convert the case to an ordinary proceeding or file a separate suit, and the borrower must be cited and given all the ordinary-case delays. If an appraised property draws a bid of less than two-thirds of its appraised value, it is re-advertised and then sold for whatever it brings at the second offering, and the debt is reduced by at least a set credit tied to the appraisal.
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.