What to know
A second mortgage, judgment lien, HOA lien, tax claim, child-support lien, or other recorded interest may be paid before the former owner receives any remainder. The result depends on foreclosure type, lien priority, notice, and state law.
Practical safeguards
An equity estimate is not the same as confirmed net surplus. Outreach should not quote an owner amount until the holder or reliable records support it.
General information only: This guide is not legal advice and remains subject to attorney review. State laws and holder procedures change.