All Forum Posts by: Lance Popal
Lance Popal has started 1 posts and replied 3 times.
Post: Need Legal Advice ASAP on Trustee Sale and Sketchy Trustee
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I remember hearing something from the law firm that it was because the servicer told them to sell the home to me. It’s just a roller coaster ride I wasn’t expecting. They literally gave me a tracking number for the deed right until their president called me.
Post: Need Legal Advice ASAP on Trustee Sale and Sketchy Trustee
- Posts 3
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Thank you for your kind words! I just found it odd that the law firm acting as trustee asked me to pay for the house again after they refunded me a week ago due to the bankruptcy filing. They emailed me the house is mine once they receive payment, deed will be overnighted to me. And boom, the president of the law firm said it canceled due to the first reason.
Quote from @Randall Alan:
Quote from @Lance Popal:
Hello All!
Hate to start my bigger pockets journey like this but I really need help asap.
I purchased a home at Trustee Sale last week, was excited and then found out the owners attorney filed for Chapter 11 BK right before the hammer dropped. So the trustee voided my sale and returned my funds.
What is crazy is the Trustee just notified me 2 days ago that my sale was actually now a good sale and was congratulated. I resent the money and got excited again. I wasn't told exactly why they went this route but they told me something about the servicer approved my sale. Maybe the BK filing wasn't done right or something I was assuming.
The trustee (law firm) told me to send the funds and they would send me the Deed Today. After sending the funds, the next day I get a call from the President of the Law Firm, he said we are canceling the sale because of the BK was filed in time. What I found confusing is why would they sell me the house the 2nd time knowing the BK was filed on time for the 1st sale that got cancelled. The President immediately wired back my funds and also added around $4k for the inconvenience.
I literally have proof from the Trustee/Law Firm that they were going to send me the deed once they received payment. I guess as soon as it got to the Presidents Desk he didn't want to sign off on it, not sure if he didn't like the price I was getting the property or has some kind of interest in the property. He wouldn't give me good information on why they cancelled it the second go around, he just went back to talking about the BK filing.
Something is super fishy here, I am not sure if anybody has a good real estate attorney in CA that can get to the bottom of this. Its been a crazy rollercoaster ride getting notified I bought and lost the property 2 times from the same company.
Thank You in Advance!
It sounds like you are mostly just a victim of bad timing. I too have had a foreclosure sale canceled due to bankruptcy. It is one of the easiest defenses to file because all you have to do is notify the court of “the suggestion of bankruptcy” and it stops all other actions in their tracks. Even if they don’t proceed with a bankruptcy, it will reset the sale probably for months!
Even if they don’t proceed with a bankruptcy, it will still cancel the current sale.
As the purchaser, you really have no legs to stand on. Until the sale is completed through the court, you are simply a bidder, who put their money up. You have no right to the house just because you gave the winning bid. The court has to grant you the right to the house… and with the bankruptcy filed, they won’t be doing that.
I would tell you that you are lucky that you got your money back so quickly. It took us four weeks after depositing $100,000 to get it back from the courts. The bankruptcy filing for us was not caught until the next day, after we had paid the courts, the balance of the funds due.
All the best,
Randy
Post: Need Legal Advice ASAP on Trustee Sale and Sketchy Trustee
- Posts 3
- Votes 0
Hello All!
Hate to start my bigger pockets journey like this but I really need help asap.
I purchased a home at Trustee Sale last week, was excited and then found out the owners attorney filed for Chapter 11 BK right before the hammer dropped. So the trustee voided my sale and returned my funds.
What is crazy is the Trustee just notified me 2 days ago that my sale was actually now a good sale and was congratulated. I resent the money and got excited again. I wasn't told exactly why they went this route but they told me something about the servicer approved my sale. Maybe the BK filing wasn't done right or something I was assuming.
The trustee (law firm) told me to send the funds and they would send me the Deed Today. After sending the funds, the next day I get a call from the President of the Law Firm, he said we are canceling the sale because of the BK was filed in time. What I found confusing is why would they sell me the house the 2nd time knowing the BK was filed on time for the 1st sale that got cancelled. The President immediately wired back my funds and also added around $4k for the inconvenience.
I literally have proof from the Trustee/Law Firm that they were going to send me the deed once they received payment. I guess as soon as it got to the Presidents Desk he didn't want to sign off on it, not sure if he didn't like the price I was getting the property or has some kind of interest in the property. He wouldn't give me good information on why they cancelled it the second go around, he just went back to talking about the BK filing.
Something is super fishy here, I am not sure if anybody has a good real estate attorney in CA that can get to the bottom of this. Its been a crazy rollercoaster ride getting notified I bought and lost the property 2 times from the same company.
Thank You in Advance!