Whether you can be sued by a mortgage lender for a deficiency balance on a foreclosed property depends entirely on when the loan was taken out, the loan type and the type of property that is foreclosed upon. If the property was a primary residence and the money used to purchase the home was purchase money loaned at the time of purchase, Arizona's anti-deficiency statues will protect you from a deficiency Judgment. However, if you have a HELOC (home-equity line of credit), you can be sued by the lender for a deficiency Judgment.
Answered on Dec 12th, 2011 at 2:45 PM