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Can the lender come after you for the rest? Deficiency judgments in Minnesota

For most Minnesota home foreclosures, the lender cannot get a deficiency judgment. A foreclosure by advertisement with a six-month or five-week redemption period ends with the sale price fully satisfying the mortgage. A deficiency is possible in other cases, such as a 12-month redemption foreclosure or a foreclosure by court action, and farm mortgages have their own fair market value rules.

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Reviewed against Minnesota law and official sources on October 12, 2026. General information, not legal advice.

Deficiency rules in Minnesota, point by point

  • The sale usually pays off the mortgage in full

    At the sheriff's sale

    In a foreclosure by advertisement, the amount received at the sale is full satisfaction of the mortgage debt, except where the deficiency statute allows more.

    Minn. Stat. § 580.225

  • No deficiency with a 6-month or 5-week redemption

    Most home foreclosures by advertisement

    A deficiency judgment is not allowed when a foreclosure by advertisement has a six-month redemption period, or a five-week period for an abandoned home. That covers most Minnesota home foreclosures.

    Minn. Stat. § 582.30, subd. 2

  • 12-month redemption cases

    After the sheriff's sale

    The bar does not cover foreclosures with a 12-month redemption period, such as when the amount claimed due is less than two-thirds of the original loan. In those cases a deficiency is possible but cannot be more than the amount owed minus what the sale brought after expenses and costs.

    Minn. Stat. §§ 580.23, subd. 2; 582.30, subd. 1

  • Foreclosure by court action

    After the court confirms the sale

    When the court confirms the sale, the judgment is satisfied to the extent of the bid minus expenses and costs. Any balance can be collected like a personal judgment only if a deficiency is allowed under the deficiency statute.

    Minn. Stat. §§ 581.09; 582.30, subd. 1

  • Farm property: fair market value rules

    Lawsuit within 90 days after the sale

    For property used in agricultural production, the lender must sue within 90 days after the sale, and a jury decides fair market value unless waived. The deficiency is limited to the debt minus fair market value, the sale must have been commercially reasonable, and the judgment cannot be executed after three years.

    Minn. Stat. § 582.30, subds. 3 to 9

  • Short sale or deed in lieu

    Before you sign

    We did not find a Minnesota statute in the foreclosure chapters that decides whether you owe a balance after a short sale or deed in lieu. The written agreement controls, so ask for a written release of any remaining debt.

  • How long a judgment lasts and wage limits

    10 years

    A judgment can be enforced for 10 years after it is entered. Minnesota caps wage garnishment on a sliding scale of 10, 15 or 25 percent of disposable earnings, depending on your weekly income.

    Minn. Stat. §§ 550.01, 541.04, 571.922

The short answer in Minnesota

Can the lender come after me for the rest?

Limited

A lender cannot get a deficiency judgment when it forecloses by advertisement and the redemption period is six months, or five weeks for abandoned property. That covers most home foreclosures. A deficiency is possible in other cases, such as a foreclosure with a 12-month redemption period, and the law sets extra limits based on fair market value for farm mortgages.

Minn. Stat. § 582.30

Common questions in Minnesota

What if my Minnesota foreclosure has a 12-month redemption period?

Then the ban on deficiency judgments for six-month and five-week foreclosures does not apply, and the lender may be able to seek a deficiency. It cannot be for more than the amount owed minus the sale proceeds after expenses and costs. Check your notice of sale for the redemption period and get legal advice.

Can a Minnesota farm lender get a deficiency judgment?

Only by filing a separate lawsuit within 90 days after the sale and having the farm's fair market value decided, by a jury unless that is waived. The deficiency is limited to the debt minus that value, and the judgment cannot be executed after three years or attach to property you get later.

How much of my paycheck can be garnished for a Minnesota deficiency judgment?

Minnesota uses a sliding scale: 10 percent, 15 percent or at most 25 percent of disposable earnings, depending on how your weekly income compares with 40, 60 or 80 times the minimum wage. Earnings at or below 40 times the minimum wage are protected.

Step by step

More on foreclosure in Minnesota

Understand the process

What is happening and how much time there is.

Weigh your options

What can stop it, and what happens if it goes ahead.

Get help now

Who to call, and what to do when a sale is scheduled.

Also in Minnesota

Property tax foreclosure Claim surplus funds Deficiency judgments (this page)Letters you may get

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Sources for this page

  1. Minn. Stat. § 580.225, Satisfaction of mortgage
  2. Minn. Stat. § 581.09, Satisfaction of judgment
  3. Minn. Stat. § 541.04, Judgments, ten years
  4. Minn. Stat. § 550.01, Enforcement of judgment
  5. Minn. Stat. § 571.922, Limitation on wage garnishment
  6. Minn. Stat. § 580.021, Foreclosure prevention counseling
  7. Minn. Stat. § 580.03, Notice of sale; service on occupant
  8. Minn. Stat. § 580.041, Foreclosure advice notice to owner
  9. Minn. Stat. § 580.07, Postponement
  10. Minn. Stat. § 580.10, Surplus
  11. Minn. Stat. § 580.23, Redemption by mortgagor
  12. Minn. Stat. § 580.30, Mortgages, when reinstated
  13. Minn. Stat. § 582.032, Five-week redemption period for abandoned property
  14. Minn. Stat. § 582.043, Loss mitigation; mortgage foreclosure dual tracking
  15. Minn. Stat. § 582.30, Deficiency judgments
  16. Minn. Stat. § 325N.03, Contract
  17. Minn. Stat. § 325N.04, Violations
  18. Minnesota Attorney General, Facing Mortgage Foreclosure
  19. Minnesota Judicial Branch, Foreclosures
  20. Minnesota Housing, Deadline to apply for HomeHelpMN is July 7
  21. Minn. Stat. § 580.24, Redemption by creditor
  22. Laws of Minnesota 2025, chapter 35, article 10 (Mortgage Foreclosure)