Foreclosure Sale Question About Questionable 2nd Mortgage

[Robert Jones]

Looking at bidding on a property going up in a foreclosure sale.  It is a 1st Mortgage Foreclosure and all property taxes and etc have been paid.  

When I do a title search I see all of a sudden another mortgage recorded right before the foreclosure sale and the last name is the same as the homeowner being foreclosed on.  So I am thinking a bit of fraud here, but it is an inferior mortgage so no big worry.  

But then I read the mortgage and it has words in it that reads like a deed specifically a Grant and Conveyance  clause that the Borrower hereby grants. transfers. and conveys to Lender all all rights, title and interest that Borrower has ..... in this property.

So if this Lender was just conveyed title to the property and yet no deed only this as a mortgage is recorded and the property is sold at foreclosure sale and then I get Certificate of Title, does this so call Lender have any claims.