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Jarrod Willis
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Georgia Foreclosure being Rescinded

Jarrod Willis
Posted Mar 20 2024, 12:47

Hi,

We have bought many foreclosure auctions over the years but never had a property rescinded. We purchased one at the beginning at March (almost 3 weeks ago), had been told by the foreclosing attorneys office that they were awaiting on the DUP on 3/14, and then notified via email from their office that their client had rescinded the sale on 3/18. We asked why and were told that "our client has exercised their right to rescind, Georgia law does not require them to provide a specific reason as we are within the statutory time frame."
Any inisght or thoughts? From what I can find, GA law does give the lender a right to rescind for statutory causes, but I'm not sure what causes they are basing their rescision on.

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Chris Seveney
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Chris Seveney
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Replied Mar 20 2024, 16:26

@Jarrod Willis

Sometimes the borrower files bankruptcy right before the auction, or they may have not done a proper notification.

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Jarrod Willis
Replied Mar 21 2024, 05:56
Quote from @Chris Seveney:

@Jarrod Willis

Sometimes the borrower files bankruptcy right before the auction, or they may have not done a proper notification.


 Yea I understand that. We’ve checked for bankruptcy filings - none. With the attorney not doing proper notice, the firm handles many many foreclosures and I would be surprised if this was the case. 

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Tom Gimer
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Replied Mar 21 2024, 07:24

Here's a possibility: prior to the hammer, owner sold the property (actual cure) or provided evidence of an upcoming settlement and lender agreed to it (enforceable promise to cure)