Kentucky Revised Statutes

Ky. Rev. Stat. § 426.525 (2026)

Mortgage foreclosure forbidden -- Rights of mortgagee after default

✓ current as of May 2026
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Foreclosure of a mortgage is forbidden; provided, however, that this section shall not preclude a mortgagee after default from taking possession of property subject to the mortgage which has been abandoned by the mortgagor, for the purpose of preserving and maintaining the same, harvesting crops, or letting the same, all to the account of the mortgagor; and any reasonable expenses incident thereto including taxes and insurance shall be added to the principal of the mortgage, and secured by it. For the purpose of this section, property shall be deemed to have been abandoned when the mortgagor has moved from the property and when by the nature of the property in question when further neglect or failure to attend will decrease its value. Any right a mortgagee acquires in a tenant's interest in crops raised on shares is inferior to any prior existing lien of the landlord on the tenant's interest. Nothing in this section shall be construed as conflicting with the provisions of KRS 383.110 or 426.205. Effective: July 12, 2012 History: Amended 2012 Ky. Acts ch. 93, sec. 2, effective July 12, 2012. -- Amended 1972 Ky. Acts ch. 90, sec. 1. -- Transferred 1952 Ky. Acts ch. 84, sec. 1, effective July 1, 1953, from C.C. sec. 375.

Notes of Decisions
Cited in 6 cases (3 in the last 5 years), 1984–2026 · leading case: Grafton v. Shields Mini Markets, Inc., 346 S.W.3d 306 (Ky. Ct. App. 2011).
Grafton v. Shields Mini Markets, Inc., 346 S.W.3d 306 (Ky. Ct. App. 2011). “005; KRS 426.525. At the time the Masons settled their property-damage claim with Appellants, Appellee’s foreclosure action against the Masons had not been resolved.”
Alexander v. Springfield Prod. Credit Ass'n, 673 S.W.2d 741 (Ky. Ct. App. 1984). “While we do not hold that a sale before final judgment upon the validity and priority of claims is always impermissible, we call attention to the general rule that such a determination should be made before sale.”
David Keith Wimberly v. Park Cmty. Credit Union, Inc. (Ky. Ct. App. 2020). “42 plus interest thereon from December 18, 2017, at the note rate plus late charges, plus any sums paid for insurance premiums, taxes and assessments, other levies constituting liens, and sums which may be necessary for preservation of the property pursuant to [Kentucky Revised…”
Timothy Lunsford v. Cent. Bank & Trust Co. (Ky. Ct. App. 2021). “See also KRS 426.525. -4- the house was locked up the last few days before the sale so they could not get in anymore to inspect it.”
Jp Morgan Mortg. Acquisition Corp. v. Bryan C. Hix, Adm'r of the Est. of John R. Ferguson, Jr. (Ky. Ct. App. 2023). “The right is reserved to [JP Morgan] to make later claim for amounts advanced for taxes, insurance, assessments, or sums expected pursuant to [Kentucky Revised Statute] KRS 426.525, and other levies and costs and fees paid by [JP Morgan], including attorney’s fees and the issue…”
Sally Schilling v. Wesbanco Bank, Inc. (Ky. Ct. App. 2026). “Additionally, the circuit court held “[t]he right is reserved to the Plaintiff to make later claims for amounts advanced for taxes, insurance, assessments, sums expended pursuant to [Kentucky Revised Statutes] KRS 426.525, and other levies and costs paid by the Plaintiff, and…”
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