Foreclosure & Alternatives Law

Can a Lender Sue a Borrower for a Deficiency Judgment if the Lender is Still Owed Money After a Foreclosure Sale in North Carolina?

Yes, North Carolina law provides lenders with the right to sue borrowers for amounts owed on the original loan after the proceeds from a foreclosure sale have been applied to the debt. However, the amount recoverable by the lender is limited by the fair market value of the property.