Summary of Kentucky's Foreclosure Laws

If you are facing foreclosure in Kentucky, it’s important to understand some of the basics, including:

the most common type of foreclosure procedure (judicial v. nonjudicial) used in Kentucky
how much time you have to respond
your rights and protections in the process, and
what happens afterwards (for example, whether you’ll be liable for a deficiency judgment).

Below we have outlined some of the most important features of Kentucky foreclosure law. Keep in mind that this is just a summary; we’ve included statute citations so you can get more details from the laws themselves. And be sure to check out Nolo’s extensive Foreclosure section, where you can find information about all aspects of foreclosure, definitions of foreclosure terms (like redemption and reinstatement), and options to avoid foreclosure.

Topic	State Rule
Common type of foreclosure process	Judicial
Time to respond	Homeowner has 20 days to respond after being served with the complaint. If court issues a foreclosure judgment, foreclosing party must post notice on courthouse door or publish notice once a week for three weeks at least 15 days before the sale.
Reinstatement of loan before sale	If loan is a high-interest loan (under Ky. Rev. Stat. Ann. § 360.100), foreclosing party must serve notice of right to reinstatement at least 30 days before filing the foreclosure complaint.
Redemption after sale	Allowed within one year of sale, if sale amount is less than two-thirds of property’s appraised value. Homeowner must pay full amount of the price paid for property at foreclosure sale, plus 10%.
Special protections for foreclosures involving high-cost mortgages	Protection against and remedies for a laundry list of abusive lending practices and loan conditions. Ky. Rev. Stat. Ann. § 360.100
Special state protections for service members	Ky. Rev. Stat. Ann. § 38.510
Deficiency judgments	Allowed if homeowner is personally served with the complaint or fails to answer the complaint
Cash exempted in bankruptcy	$1,000 for one person, $2,000 for a married couple
Notice to leave after house is sold	Former owner may be required to move immediately after court-ordered sale under an immediate writ of possession issued by the court. Check with the sheriff to see how much time you have to move out, if any.
Foreclosure statutes	Ky. Rev. Stat. Ann. §§ 426.525 to 426.720