Massachusetts Surplus Funds Laws
How mortgage foreclosure surplus, tax sale surplus and unclaimed funds work in Massachusetts.
Mortgage foreclosure surplus
Mass. Gen. Laws ch. 244, § 36 allows the mortgagor or other entitled person to recover in a civil action amounts received by a mortgagee above the debt, absent a redemption suit. Chapter 244 governs the foreclosure process. Section 36 states no special filing period for an excess-proceeds civil action; the applicable civil limitations period and facts of receipt must be assessed. A right to cure default or redeem the property is a separate matter.
Tax sale surplus
Mass. Gen. Laws ch. 60, § 64A (added by St. 2024, c. 140 and amended in 2025) now governs excess equity when a municipality or tax-receivable purchaser sells or retains property after a Land Court tax-foreclosure judgment. If an owner cannot be identified and located, § 64A(d)(3) gives 18 months after the excess-equity notice to submit a written claim. Unclaimed equity is transferred under ch. 200A after 19 months from sale or appraisal (§ 64A(e)). A dispute action in Superior Court must be filed within 12 months after the itemized-accounting notice (§ 64A(f)).
Unclaimed funds
Mass. Gen. Laws ch. 200A, especially § 10, governs owner claims to property surrendered to the State Treasurer. Section 10(a) allows a person to establish a claim at any time after the property is surrendered. A tax-foreclosure claim against the judgment holder still follows ch. 60, § 64A before transfer.
Statute text
Links to the statutes referenced in our research. These may be third-party copies of older code editions, so check the current official code before relying on them.
