What We Acquire
Judgment Claim Acquisitions
SurplusFactor evaluates qualifying judgment claims associated with foreclosure surplus and may purchase eligible claims for a transparent cash purchase price.
What is a judgment claim?
A judgment claim is a creditor interest arising from a valid, unsatisfied judgment that may, depending on the jurisdiction and the effect of the foreclosure, create a claim against surplus proceeds from a foreclosure sale. A recorded judgment does not automatically create a valid claim to surplus proceeds.
Valid unsatisfied judgment
The judgment must be properly entered, currently enforceable and unsatisfied. Vacated, satisfied or discharged judgments do not qualify.
Properly perfected
Where the jurisdiction requires recording or abstracting, we verify the judgment was properly perfected against the subject property.
Attached to the property
The judgment must have attached to the specific property that generated the surplus. Attachment rules vary by jurisdiction.
Survived foreclosure
We determine whether the judgment survived the foreclosure, transferred into a surplus claim, or was extinguished by the foreclosure process.
Identifiable priority
The judgment lien priority position must be established relative to competing liens, mortgages and other claims.
Legally transferable
We verify whether the judgment, the lien and the specific surplus claim can be assigned or otherwise transferred.
What we evaluate
Judgment validity
We verify that the judgment was properly entered, remains unsatisfied and has not been vacated, satisfied or discharged.
Perfection and attachment
Where required, we confirm the judgment was properly abstracted, recorded or otherwise perfected against the subject property.
Timing and survival
We determine whether the judgment existed at the legally relevant time and whether it survived or transferred into a claim against surplus proceeds.
Priority analysis
Judgment liens compete with other liens and claims. We identify the priority position and measure available surplus against higher-priority interests.
Assignability
Assignment of a judgment, a lien and a specific surplus claim are distinct legal acts. We verify what can be transferred and the required procedure.
Recovery probability
We estimate collection probability, timing, legal and administrative cost, and claim-specific risk to determine a maximum economic purchase price.
Not every judgment qualifies. A recorded judgment does not automatically create a valid claim to surplus proceeds. Qualification requires individual verification of validity, perfection, attachment, priority, available surplus and assignability. Submission of a claim does not constitute an offer to purchase.