Foreclosure cash sale - mortgage company not providing documents

[Ryan Braman]

I'm supposed to close today (20 Dec) on a foreclosure that I'm paying cash for here in Lexington, VA. The seller, a national mortgage service company, as of yesterday has not provided the signed deed to their title company out in Texas that is working this, they've also not done the tax lien search. I've never 1)bought a foreclosure, 2)paid cash for a property, 3)purchased from a large company, vs an individual...so with full transparency I may be worried over nothing..if this is par for the course for any of those three conditions.

My understanding is the title company, after receiving what they need from the mortgage service, still needs to FedEx the documents to me for notary/signature. Since the closing was supposed to happen today, what can I expect in terms of fallout for this looking like it's not happening? They've already accepted / cashed the earnest money check. I can't/won't schedule a wire transfer until I see the signed deed and HUD statement that actually tells me the final amount I'll need to transfer and that everything is legit. Is it unreasonable to ask that we extend the closing at no penalty to me so I can give my lawyer a chance to read everything over?

Thanks!

[Tom Gimer]

There is no settlement date per se with a foreclosure.  Sure, there are deadlines for settlement in the auction terms, but those dates often depend upon third party action.

Did you select a title company and order settlement services? Have you seen (or requested) a title commitment? In Virginia it is NOT uncommon for buyer and seller to have separate title companies involved... so figure out first thing Monday whether you have done everything you need to do to close. If you have, great. If you have not, you’ll eventually receive a default notice. Be prepared to deal with that by getting ready to close through your own title company.