Deficiency judgments may be filed by a mortgage owner (the lender) if a foreclosure sale does not produce the amount of money a mortgagor (the borrower) owes to fully repay their debt. Nevada deficiency judgments consider fair-value appraisals of the property when determining the amount owed. Fair-value laws require the deficiency be calculated by subtracting the amount paid at the foreclosure sale from the then fair market value of the property. The mortgage holder may file suit for the full difference remaining unpaid after the foreclosure.
The amount of money resulting from the foreclosure sale of the property becomes the full amount owed unless the lender files suit for a deficiency judgment. In Nevada, if the lender fails to file for a deficiency judgment within six months from the property’s sale date, it may forever forfeit the right to do so.
Simon Law, LLC can assist you each step of the way if you want to file for a deficiency judgment against a debtor. Our services include:
- Finding out if you are eligible to seek a deficiency judgment
- Quickly and efficiently filing the necessary paperwork with the appropriate court
- Assisting in seeking recovery of the judgment obtained.