Lenders in California can appeal for foreclosure of a property through judicial or non-judicial foreclosure.
- In case the Deed of Trust or Mortgage does not have a power of sale clause, the judicial foreclosure will be opted for by default.
- Post declaration of the foreclosure by court, the property will be auctioned and sold to the highest bidder.
- Non-judicial foreclosure is applicable only where the primary security instruments contain a power of sale clause.
- In such a foreclosure the borrower has to pre-authorize the sale of property against their dues pending settlement to the lender.