I am a substitute purchaser of a property that a wholesaler obtained few months ago during trustee's foreclosure auction sale and assigned the contract to me. The court has recently (3 weeks ago) granted motion to substitute purchaser (i.e., approved me as a substitute purchaser).
I am interested in knowing what additional steps are there (specifically from the court's side) prior to closing of the property. When I ask the title company, the response was "we are still waiting for the sale to ratify”. What does this mean? Does the court has to issue notice of sale? I though we can close the property as soon as the court grants request to substitute me as a purchaser.
@Amit Agrawal In ratifying the sale, the court enters an order that essentially says all necessary procedures were followed and the sale has been approved. You absolutely cannot close until that order is entered.
Thanks Tom. Just one clarification: is the ratification process a next step after the motion (substituting purchaser) is granted by the court? I thought the court approved/ratified the sale when they granted the substituting purchaser motion back in late October. Thanks much (once again)
The motion to substitute purchaser and the Order ratifying the sale are completely unrelated. The motion to substitute can be filed any time after the property is sold to a high bidder... whereas the Order will only be entered after all procedural steps have been confirmed to be followed and the time period for objections has passed.
Thanks Tom. Really appreciate your response.