What is the difference between mortgage foreclosure and lien foreclosure?

Mortgage foreclosure and lien foreclosure are two types of real estate litigation law in California. Mortgage foreclosure deals with the default from a borrower on a loan secured by a primary residence’s title. When the loan is not paid in full, the lender (usually a bank) has the right to foreclosure on the title to regain the outstanding balance. The lender must then file a Notice of Default in order to start the foreclosure process. Lien foreclosure deals with a creditor having the right to foreclosure due to an unpaid debt or past due taxes. A lien is created when an individual or business fails to pay a debt or debt service. The creditor then has the right to file a Notice of Default to start the lien foreclosure process. The foreclosure can be on any part of the title held by the debtor, not just the primary residence. The main difference between mortgage foreclosure and lien foreclosure is that lien foreclosure can apply to any portion of the title held by the debtor, whereas mortgage foreclosure is only applied to the primary residence. Additionally, mortgage foreclosure requires a Notice of Default to begin the process, whereas lien foreclosure does not necessarily require a Notice of Default.

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What is the difference between mortgage foreclosure and lien foreclosure?

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