We refinanced our primary residence about two years ago and like our first loan got another 80/20 loan when we did this. On the 20% loan we owe about 30,000. 20,000 was for purchasing of the house and the other 10,000 was to pay off other bills such as credit cards and a car payment. If the house does foreclose the auctioning of the house will not cover the 80% loan. My question is this. Under California law will we be liable for the whole 30,000 of the second loan or just the 10,000 that was used to pay off other bills?

Thanks in advance.