Prunty v. Bank of America

Opinion

RATTIGAN, Acting P. J.

The question presented on this appeal (apparently as a matter of first impression) is whether Code of Civil Procedure section 580b 1 bars a deficiency judgment, against a borrower and in favor of a lender, after judicial foreclosure and sale of real property under a deed of trust executed by the borrower to secure payment of a “construction loan” (1) which was used to finance construction of his personal residence on land already owned by him in fee, but (2) which was not used to finance his purchase of the land itself. We hold that the statute bars a deficiency…