The purchase price at the sale exceeded the amount of indebtedness to Eagle's successor in interest. As the holder of a lien for an amount in excess of the amount deposited, and the next lienholder of record on the property, Household petitioned the court for disbursal of the registry funds to it. Over the Uptons' objections, a superior court commissioner ordered the entirety of the surplus funds disbursed to Household. The Uptons moved for revision of the commissioner's order, contending that they were entitled to the funds under Washington's homestead exemption, RCW 6.13.070. A superior court judge reversed the commissioner's ruling.
Household now appeals.
They argue that a property owner's homestead interest in the excess proceeds from a nonjudicial foreclosure sale takes priority over the interest of a second deed of trust beneficiary. We therefore review the trial court's decision de novo. Generally, a property owner's homestead interest in property takes priority over the interests of other creditors. The Uptons concede that their homestead interest was subordinate to the first deed of trust beneficiary's interest. But they contend that their interest in the excess proceeds is superior to the second deed of trust beneficiary's interest.