Behind on your mortgage in Santa Clara, San Mateo or Alameda County? You have more options, and more time, than you might think.
If you’ve received a Notice of Default, you may be scared, embarrassed, or just exhausted. Please don’t wait until the last minute. The sooner you reach out for help, the more options you have. I’m here to help, not to sell you something. Sometimes just understanding your options makes all the difference.
Before I became a REALTOR® in 1996, I ran my own loan processing company and worked as a loan officer. I know how lenders and trustees work, and I can help you understand where you stand.
I’m a REALTOR®, not an attorney. This is general information, not legal advice. For legal questions, talk to an attorney. You can also find a free or low-cost housing counselor through the Consumer Financial Protection Bureau.
How the timeline works in California
- Notice of Default. Not less than three months must pass after the Notice of Default is filed before the next step (California Civil Code §2924).
- Notice of Sale. The notice of the trustee’s sale must be posted and published at least 20 days before the sale date (Civil Code §2924f).
- Catching up. For a money default, you generally can reinstate the loan by paying what’s past due until five business days before the sale date in the first recorded notice of sale (Civil Code §2924c). Ask your lender or an attorney for the exact amount and deadline.
AB 2424: more time to sell your home
A California law that took effect January 1, 2025 gives homeowners facing foreclosure some breathing room. It applies to homes with one to four units.
- 45 more days with a listing. If you list your home with a California licensed real estate broker and the trustee receives the listing agreement at least 5 business days before the scheduled sale, the sale must be postponed at least 45 days.
- 45 more days with a purchase contract. If you then accept an offer and the trustee receives the purchase agreement at least 5 business days before the sale, the sale is moved at least 45 days after it’s received. The purchase price must be at least the total unpaid balance of all loans and liens of record on the home.
- Follow the rules exactly. The agreements must be sent by certified mail or another overnight courier, with tracking that confirms the signature and the date and time of delivery. Each postponement can be used only once.
- No fire-sale at the first auction. At the first trustee’s sale, the home can’t be sold for less than 67% of its fair market value. If nobody bids that much, the sale must be postponed at least 7 days.
- Someone in your corner. A family member, a HUD-certified housing counselor, or an attorney can record a request to receive copies of your foreclosure notices.
I wrote more about this law here: AB 2424 Could Give You More Time If You’re Facing Foreclosure.
Your options
- Talk to your loan servicer about catching up, a repayment plan, or other options.
- Get free counseling from a HUD-approved housing counselor.
- Sell on the open market before the sale date, so you keep your equity instead of losing the home at auction. If selling makes sense, I’ll move quickly and handle the listing paperwork the trustee needs.
When a death and a foreclosure happen together
Sometimes a mortgage falls behind after a spouse or parent passes away. One man I helped had a foreclosure notice in the middle of a probate. I stopped the foreclosure and got him the time he needed, and we sold the house for more than he thought it would bring. Read his story on my Families I’ve Helped page.
You don’t have to do this alone
I have a full team I trust: attorneys, appraisers, movers, clean-out crews, contractors, painters, repair people, and my own escrow team. I coordinate every piece. Please call or text me. There’s no pressure and no obligation.
Helen K. Burke, REALTOR® | Seller Specialist
Intero Real Estate Services | DRE #01175866
Call or text 408-835-8967 | helen@helenkburke.com
Sources: California Civil Code §§2924, 2924c, 2924f; Assembly Bill 2424 (2024), effective January 1, 2025; Snell & Wilmer, “Recently Enacted California Assembly Bill 2424 and Its Impact on Non-Judicial Foreclosure Procedures.” Laws change, so confirm details for your situation with an attorney or housing counselor.