This research examines the legal percentage established for participation in real estate auctions and evaluates the consequences of determining the auction's initial bid as a specific percentage of the property's appraised value. Its objective is to safeguard debtors from possible losses that could occur when mortgaged properties are auctioned publicly. The study raises concerns regarding whether the property realizes its true value throughout the auction process, particularly when the initial bid is set at 50% of the appraised value. This situation prompts inquiries into the potential drawbacks experienced by debtors and the disconnect between property valuation and the auction mechanism. The findings indicate that an opening bid set at 50% of the property's appraised value may result in considerable losses for debtors who are already experiencing financial difficulties. The study advocates for legislative reforms to ensure that the property's true value is accurately represented in the auction process, thereby protecting the rights of debtors and aligning with advancements in contemporary legislative frameworks.