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Updated over 13 years ago on . Most recent reply

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Shanequa J.
  • Realtor
  • Houston, TX
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I'm confused

Shanequa J.
  • Realtor
  • Houston, TX
Posted

What is the difference between lis pendens and a substitution of trustee sale?

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Chris Martin
  • Investor
  • Willow Spring, NC
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Chris Martin
  • Investor
  • Willow Spring, NC
Replied

The lis pendens is the term used for the process of filing of the suit, including the service of notice, etc. We are in a trustee state so a substitute trustee filing just identifies the "new" trustee. You generally see substitute trustee filings when a lender prepares to execute the power of sale in a deed of trust. State case law says a bank/lender can't use their own attorneys as a trustee so they file a substitute trustee filing with the county that effectively hands over the foreclosure process to the assigned law firm that will execute the process of selling (via foreclosure) the property for the lender.

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