We had an initial delay due to a mortgage needing to be cleared on the title before moving on. After that was complete, we were all set to close a few days later (or so we thought!). On the day of closing, my buyer was notified that a hearing had been previously scheduled that transfers the property from an Abstract property to Torrens, had not been completed yet. In order to proceed with the sale, the buyer needed to agree to let this hearing take place after the closing and await the final results of said hearing. We were somewhat surprised to hear of this, as we were not notified this condition needed to take place prior to this moment. The buyer was ok with signing off on the Letter of Undertaking, but felt angry that we didn't get notice this needed to be completed prior to the day of closing.
This Letter of Undertaking from the foreclosing attorney, in regards to these hearings, is very common amoungst purchases of bank owned properties. This hearing is one of very few that a buyer can close on a home purchase when it is scheduled after the closing. With this Letter of Undertaking, we are assured the process will be completed as soon as possible taking into account the length of time it takes to finalize within the court system. There is little to be concerned of from the buyer's perspective, when the letter from the attorney is issued, as this is part of the job of the foreclosure attorneys and must be completed thoroughly in order for their code of ethics to be followed. After the hearing takes place and all items on title are cleared and adjusted to Torrens, the new owner will receive notification from the foreclosing attorney verifying the finalization of this process. In the event the notice isn't received several months after a closing, a buyer can then contact the foreclosing attorney to get verification or an update on the scheduled status.
This process can be cumbersome to a buyer, if they do not get the follow up they are entitled to. Unfortunately, this is just another aspect of our real estate market that is unavoidable considering the amount of bank owned homes that are being sold these days.
If you have any questions about this or any other real estate issues you may encounter, do not hesitate to give me a call or send me an email. I look forward to helping ease your concerns and answering the tough questions buyers are afraid to ask.
This Letter of Undertaking from the foreclosing attorney, in regards to these hearings, is very common amoungst purchases of bank owned properties. This hearing is one of very few that a buyer can close on a home purchase when it is scheduled after the closing. With this Letter of Undertaking, we are assured the process will be completed as soon as possible taking into account the length of time it takes to finalize within the court system. There is little to be concerned of from the buyer's perspective, when the letter from the attorney is issued, as this is part of the job of the foreclosure attorneys and must be completed thoroughly in order for their code of ethics to be followed. After the hearing takes place and all items on title are cleared and adjusted to Torrens, the new owner will receive notification from the foreclosing attorney verifying the finalization of this process. In the event the notice isn't received several months after a closing, a buyer can then contact the foreclosing attorney to get verification or an update on the scheduled status.
This process can be cumbersome to a buyer, if they do not get the follow up they are entitled to. Unfortunately, this is just another aspect of our real estate market that is unavoidable considering the amount of bank owned homes that are being sold these days.
If you have any questions about this or any other real estate issues you may encounter, do not hesitate to give me a call or send me an email. I look forward to helping ease your concerns and answering the tough questions buyers are afraid to ask.
