What is excluded from a deficiency judgment for purchase money liens in Oregon?

In Oregon, a deficiency judgment on purchase money liens is specifically designed to protect homeowners from owing more money after the foreclosure of their home. When a debtor takes a loan to purchase real property, the court recognizes that foreclosure mitigates the risk for that debtor if the sale does not cover the total amount owed on the loan. Hence, what is excluded from a deficiency judgment in this context is precisely the deficiency that remains after a foreclosure. This means that if a property is sold at a foreclosure auction for less than the purchase price, the creditor cannot seek additional compensation through a deficiency judgment against the borrower.

This principle serves to balance the interests of debtors and creditors, particularly in keeping homeownership accessible and fostering stability in the housing market. While the other options refer to different legal or financial contexts, they do not specifically relate to the protections afforded to debtors under Oregon law regarding purchase money liens and foreclosures.