Minn. Stat. » CHAPTER 582. MORTGAGES; FORECLOSURE, GENERAL PROVISIONS
Minnesota Statutes

Minn. Stat. § 582.30 (2026)

Deficiency Judgments By Mortgage Holder

✓ current as of May 2026
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Subdivision 1.Deficiency allowed.

(a) Except as provided in this section, a person holding a mortgage may obtain a deficiency judgment against the mortgagor if the amount a person holding a mortgage receives from a foreclosure sale is less than:

(1) the amount remaining unpaid on the mortgage under chapter 580; or

(2) the amount of the judgment entered under chapter 581.

(b) Except as provided in subdivisions 3 and 5, the judgment may not be for more than the difference between the amount received from the foreclosure sale less expenses and costs and:

(1) for a foreclosure by advertisement, the total amount that attaches to the sale proceeds under chapter 580; or

(2) for a foreclosure by action, the amount of the judgment entered under chapter 581.

(c) Subdivisions 3 to 9 do not apply to mortgages entered or amended on or after May 22, 1999, if the mortgaged property is used in agricultural production only by a tenant who is not the mortgagor.

Subd. 2.Not if six-month or five-week redemption period.

A deficiency judgment is not allowed if a mortgage is foreclosed by advertisement under chapter 580, and has a redemption period of six months under section 580.23, subdivision 1, or five weeks under section 582.032.

Subd. 3.Ag property mortgage entered after March 22, 1986.

(a) If a mortgage entered after March 22, 1986, on property used in agricultural production is foreclosed and sold, a deficiency judgment may only be obtained by filing an action for a deficiency judgment and a determination of the fair market value of the property within 90 days after the foreclosure sale. In the action all issues of fact, including determination of the fair market value of the property, shall be tried by a jury unless a jury trial is waived as provided in Minnesota district court rules. A court may allow a deficiency judgment only if it determines that the sale of the property was conducted in a commercially reasonable manner.

(b) The amount of the deficiency judgment is limited to the difference of the fair market value of the property, and the amount remaining unpaid on the mortgage if the foreclosure is under chapter 580 or the amount of the judgment if the foreclosure is under chapter 581. The property may not be presumed to be sold for its fair market value. A party adversely affected by a deficiency judgment may submit evidence relevant to establishing the fair market value of the property. Notice of the time and place where the action for the deficiency judgment and the determination of fair market value of the property is to be heard must be given to all parties adversely affected by the judgment.

Subd. 4.Judgment on mortgage note.

A personal judgment may not be executed against a mortgagor liable on a mortgage note entered after March 22, 1986, secured by real property used in agricultural production, unless the fair market value of the property is determined in a proceeding as provided in subdivision 3. The personal judgment on the mortgage note may not be for more than the difference of the amount due on the note and the fair market value of the property.

Subd. 5.Ag property mortgage entered before March 23, 1986.

(a) If a mortgage entered on or before March 22, 1986, on property used in agricultural production is foreclosed and sold, a deficiency judgment may only be obtained by filing an action for a deficiency judgment and a determination of the fair market value of the property within 90 days after the foreclosure sale. In the action all issues of fact, including determination of the fair market value of the property, shall be tried by a jury unless a jury trial is waived as provided in Minnesota District Court Rules. A court may allow a deficiency judgment only if it determines that the sale of the property was conducted in a commercially reasonable manner.

(b) The amount of the deficiency judgment is limited to the difference of the fair market value of the property, and the amount remaining unpaid on the mortgage if the foreclosure is under chapter 580 or the amount of the judgment if the foreclosure is under chapter 581. The property may not be presumed to be sold for its fair market value. A party adversely affected by a deficiency judgment may submit evidence relevant to establishing the fair market value of the property. Notice of the time and place where the action for the deficiency judgment and the determination of fair market value of the property is to be heard must be given to all parties adversely affected by the judgment.

Subd. 6.Judgment on mortgage note.

A personal judgment may not be executed against a mortgagor liable on a mortgage note entered on or before March 22, 1986, secured by real property used in agricultural production, unless the fair market value of the property is determined in a proceeding as provided in subdivision 5. The personal judgment on the mortgage note may not be for more than the difference of the amount due on the note and the fair market value of the property.

Subd. 7.Statute of limitations on executing judgment.

A deficiency judgment or personal judgment obtained to enforce a mortgage debt on property used in agricultural production may be enforced by execution, but the judgment may not be executed after three years from the date judgment was entered.

Subd. 8.Subdivision 5 judgments; no execution until March 22, 1987.

For a mortgage on property used in agricultural production entered on or before March 22, 1986, a deficiency judgment or personal judgment to enforce the mortgage debt may not be executed on real or personal property used for agricultural production until one year after March 22, 1986.

Subd. 9.Attachment of judgment after judgment entered.

A deficiency judgment or personal judgment obtained to enforce a mortgage debt on property used in agricultural production does not attach to real or personal property that is acquired by the mortgagor or debtor after the judgment is entered.

Notes of Decisions
Cited in 31 cases, 1987–2014 · leading case: Nat'l City Bank of Minneapolis v. Lundgren, 435 N.W.2d 588 (Minn. Ct. App. 1989).
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Nat'l City Bank of Minneapolis v. Lundgren, 435 N.W.2d 588 (Minn. Ct. App. 1989). · cites it 12× “225 provides that “the amount received from foreclosure sale [by advertisement] is full satisfaction of the mortgage debt, except as provided in section 582.30.” (Emphasis added.) Section 580.”
Welk v. GMAC Mortg., LLC, 850 F. Supp. 2d 976 (D. Minn. 2012). · cites it 4× “225, the amount received from a foreclosure by advertisement is deemed to be “full satisfaction of the mortgage debt, except as provided in section 582.30.” Section 582.30, in turn, provides for a deficiency judgment in certain circumstances.”
JPMorgan Chase Bank, N.A. v. Erlandson, 821 N.W.2d 600 (Minn. Ct. App. 2012). · cites it 8× “Minn.Stat. § 582.30, subd. 2 (2010). . In a foreclosure by action, the district court is directed to enter judgment for the amount due under the mortgage, along with costs and disbursements, and to order that the real estate be sold by the sheriff.”
N. State Bank of Thief River Falls v. Efteland, 409 N.W.2d 541 (Minn. Ct. App. 1987). · cites it 9× “Jury Valuation Appellants argue Minn.Stat. § 582.30, subd. 1 (1986) entitles them to a jury valuation of their farm: Subdivision 1 states in part: (a) Except as provided in this section, a person holding a mortgage may obtain a deficiency judgment against the mortgagor if the…”
Nancy & Stjepan Sostaric v. Sally Marshall, 766 S.E.2d 396 (W. Va. 2014). · cites it 2× “3280 (“true value” at time of sale); Minn. Stat. Ann. § 582.30 , subd. 5(a) (“fair market value”); Neb.”
Miller & Schroeder, Inc. v. Gearman, 413 N.W.2d 194 (Minn. Ct. App. 1987). · cites it 4× “The result of the legislation is expressed in Minn.Stat. § 582.30, subd. 2 (1986): General prohibition for property with a six-month redemption period.”
Shaw Acquisition Co. v. Bank of Elk River, 639 N.W.2d 873 (Minn. 2002). · cites it 2× “225 provides, “The amount received from foreclosure sale under this chapter is full satisfaction of the mortgage debt, except as provided in section 582.30.” The language of that statute, given its ordinary meaning, appears to provide that a mortgagee having foreclosed upon its…”
Lassen v. First Bank Eden Prairie, 514 N.W.2d 831 (Minn. Ct. App. 1994). · cites it 2× “1985)); see also Minn.Stat. § 582.30, subd. 2 (1990) (prohibiting deficiency judgments after mortgage foreclosure by advertisement).”
Am. Nat'l Bank of Minnesota v. Hous. & Redevelopment Auth. for Brainerd, 773 N.W.2d 333 (Minn. Ct. App. 2009). · cites it 6× “Minn.Stat. § 582.30 (2008) governs deficiency judgments by mortgage holders.”
Fed. Land Bank of St. Paul v. Bennett, 445 N.W.2d 279 (Minn. Ct. App. 1989). · cites it 23× “Respondent brought a summary judgment motion claiming that appellant had violated Minn. Stat. § 582.30 , subd. 5(a) (1988) by not filing the complaint in district court within 90 days.”
Fayette Cnty. Nat'l Bank v. Lilly, 484 S.E.2d 232 (W. Va. 1997). “If no party requests the determination of fair market value or if such a request is made and no competent evidence of fair market value is introduced, the sale price at the foreclosure sale shall be used to compute the deficiency.”
Farm Credit Bank of St. Paul v. Ahrenstorff, 479 N.W.2d 102 (Minn. Ct. App. 1992). · cites it 21× “In their separate answers the Ahrenstorffs asserted the action was barred by the statute of limitations under Minn.Stat. § 582.30, subd. 5(a) (1990). FCB brought a motion for partial summary judgment against Sigfried Ahren-storff.”
Show all 31 citing cases →
Minn. Stat. § 582.30(2): 1 case
United Fed. Sav. Bank v. Johnson (In Re Johnson), 108 B.R. 689 (Bankr. D. Minn. 1989).
Minn. Stat. § 582.30(l)(a)(2): 1 case
Fed. Deposit Ins. v. Hughes Dev. Co., 684 F. Supp. 616 (D. Minn. 1988).
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