CA Foreclosure Postponement Reasons
In California, foreclosure sales can be postponed for up to one year per CA Civil Code 2924 g (c) (2). The postponement reasons are outlined in 2924 g (c) (1), but the following names are commonly used at the foreclosure auctions.
Mutual Agreement. The most common postponement reason it simply indicates that the homeowner and the lender have agreed to postpone the sale. This may be the result ofa simple call by the homeowner requesting a little more time, or a more formal agreement like forbearance. Many homeowners do not realize when they enter a forbearance agreement that the foreclosure process continues; and if they miss an agreed upon payment, the property can be sold on the next scheduled sale date with no further notice.
Bankruptcy. When a homeowner files for bankruptcy protection, it puts an automatic stay on all debt collection actions, including foreclosure. Note that bankruptcy does not stop foreclosure, as many believe. Instead, it simply delays the sale of the property until the homeowner resolves the debt, or in many cases, the lender gets approval from the bankruptcy court to continue the sale - an order granting motion for relief from stay. The bottom line is that a home is a secured debt, and the lender has the right to take the security (the home) if the homeowner lacks the ability to pay the debt as agreed. Bankruptcy is only an effective tool against foreclosure if the homeowner will have sufficient income to pay their home loan and make up past due amounts once the bankruptcy plan is completed.
Beneficiary's Request. A simple decision by the lender (beneficiary) to postpone the sale. Could be for any reason, including that they simply aren't prepared to take the property to sale, or because they have reason to believe they are about to be paid (a closed escrow for which they have not yet received payment, for example).
Trustee's Discretion. A simple decision by the trustee to postpone the sale. The most typical reason is that they are unable to reach the lender for sale instructions.
Operation of Law. Fairly rare, but used when a court orders the postponement of the sale. The most likely reasons for a court to make such an order would be in cases where there is a plausible allegation of fraud against the lender, or there are questions of material fact around the right of the lender to foreclose.
No matter what the postponement reason, a new notice of trustee sale must be posted and filed if the sale is postponed for more than 365 days.
ForeclosureRadar.com is the only foreclosure service that features Auction Tracking, with daily updates on every foreclosure sale including postponements, cancellations and sales.
Comments
I received a copy of the Trustee's Sale set for July 1, 2009. Now I receive from my lender a letter dated August 21, 2009 saying that the sale had been postponed. I had not received any prior notice that this postponement had occurred. It seems very fishy that they sprung this on me now, since it would make sense that they would've done this sooner. Are there any legal ramifications with their lack of giving proper notice? It seems coincidental a few days after my Homeowners insurance lapsed on the property....
I received a postponement and was working out an approved short sale and they sold my property without notifying me of the second sale date as they did the first sale date.IE no notices or letters.I am less then a week from selling to a cash buyer.Is it legal to not notify me of second sale even though they gave me written approval to close by 9/27?
Each postponement must be announced at the time and location of the scheduled sale, but no other notification of the postponement or subsequent sale is required. As such it would be legal and proper for them to sell a property that had been postponing with NO further notice.
That said, if you have an agreement in writing that they did not honor, you should definitely contact the lender or trustee and ask that the sale be overturned. If they refuse it may be worth showing the agreement to an attorney.
I work with a company that postpones dates and yes it is legal. the same situation occured to a client that was in escrow and the property was sold without a second notice. Its you and your rep's responsibility to make sure that the dates are being postponed while in escrow it is not automatically done. If the property does get auctioned it still possible to rescind (take back) the sale allowing you to close escrow. Hope this was helpful
do you know a company that does postponement. pleae contact me . I am a homeowner and need to do that thanks zoey
Viviana Can you contact me and give me your company info on postponing the trust sale? I'm a realtor helping people with short sales and REOS. My cell is 310-429-4170 call me or email me asap your website, info, etc.
if the home was foreclosed and bank owns it can there be a reversal?
Can there be a reversal on a foreclosed home?
A foreclosure can be reversed up to two years after the auction date. You need to file a federal wrongful foreclosure lawsuit and to gain back the home or settle for monetary damages. You just need to stand up to the so called lender. For more information go to CreateHomeEquity.com.
Remember that the foreclosure laws vary from state to state.
Hello,
CAN you please provide me complete detail about how to reversed trustee sale in California? Because my house has been auctioned in AUG 20th 2010 without letting me know, and there was so many violation that lender has use it. I have been fighting for to get my house back. The house went back to DEUTSCHE BANK so please if you could help me i would be really appreciate cus no matter what my goal is to fight until the end and fight for rights and get my house back. ANY kinda of help would be really appreciate.
you can contact me at janks.patel@gmail.com
Thank you
GOD BLESS YOU
Can a bank rescind a foreclosure sale when they were the purchaser for the reason of improper communications. Is there a civil code that you can point to on this. And is this something that the homeowner should be notified of?
Can a bank rescind a foreclosure sale when they were the purchaser for the reason of improper communications. Is there a civil code that you can point to on this. And is this something that the homeowner should be notified of?
HI Cindy,
You can find a comprehensive list of foreclosure laws and timelines by going to http://www.foreclosureradar.com/foreclosure-guides/foreclosure-101/non-j.... The trustee must post, publish and record the documents in accordance with the non-judicial foreclosure laws of that state. If they fail follow the processes as outline for that state then that could be grounds for a rescission of the sale.
my company can and does reverse auction sale's up to 18months, providing the property is stll vacate. even is the property
sold to a third party. there is always mistake, that the foreclosure company does. so if you have any questions please feel
free to call 1=877-283-8169
My son's home was foreclosed on 7/8/11 after trying to get a modification for over two years from Chase and is no banked owned can he fight back with a foreclosure reversal action ?
Hi Jerry,
Unless there was something illegal about the sale (foreclosure documents were not posted, published and recorded in accordance with the laws of the state) there would be no valid reason to rescind the sale. The lender is under no legal obligation to offer or approve a modification.
jerry, ever thing in this world is resovable, man created it, man can re-create you just have to find the company who will try
for you. take a chance call 1-877-283-8169
jerry, ever thing in this world is resovable, man created it, man can re-create you just have to find the company who will try
for you. take a chance call 1-877-283-8169
May I use the 3 day trial free without giving you my credit card info beforehand?
do you guys know a good company for principal reduction or postponement of trustee sale??
thanks
ok i got a notice of sale date, the first one. it was for april 23rd. today a asset manager came to my door and left note. so i called the number on the notice of trustee sale and it said it sold on march17th!! wtf? i had gotten a notice recently that i had until april 9 to respond to do a short sale. can they legally do this?? i had no idea of a sooner first sale date..
frustrated..
Check to see if the notice that you received was a Notice of Trustee Sale. You may have been originally contacted by a bank representative from the loss mitigation department if they were talking to you about a short sale. The best thing for you to do is to contact the Trustee. Their contact information will be on Notice of Trustee Sale. Occasionally mistakes are made and you will want to verify the sale and the notices. You may need to ultimately consult with an attorney. There are definite rules regarding the recording, posting and publishing of the foreclosure notices in the non-judicial foreclosure process. If you go to http://www.foreclosureradar.com/foreclosure-guides you can see the requirements for CA, OR, WA, AZ and NV.
I currently rent a condo in Inglewood, California and recently there was a notice posted on my door that the property will be auctioned on May 21st ,2010. Today is April 22, 2010. The owner states that the auction date will be canceled because she is in the loan modification process. Do I pay rent on May 1st, knowing that this property will be possibly be auctioned off during that month? Please know that my desire is not to move. The fact in the matter is, that if I have to move, I will need May’s rent to be apart of my 1st and last month’s rent and security deposit wherever I decide to move to. What’s a single mom of 3 to do in a situation like this?
You still technically owe rent even though there is an active foreclosure on the property. We have heard from renters that withhold rent until the cancellation can be verified. Since you undoubtedly want to maintain a good relationship with your landlord (in case they are telling the truth) ask for some verifying documentation that the sale will be cancelled and the loan brought current. Unfortunately we have seen many landlords that think they have a loan modification but it does not pan out. We have also heard numerous stories where the landlord has lied to the renter. There are HUD approved counsellors (free) that you can find by going to makinghomeaffordable.gov. They may be able to provide you with additional information on your specific situation.
On the notice that was posted to your door you will see a phone number and a TS#. You can call the automated phone number and enter the TS# and get the update on the auction status so that you can confirm the sale information and see for yourself if it has been cancelled.
I am a principal for a company that does Trustee Sale Postponements. I see many postings here from people who need help in postponing sale dates on properties. I can do just about any property, residential, commercial, land, etc. If you need assistance in any state for any reason, please feel free in contacting me at 888-625-0085 ext 701. Homeretention.net
my 76 old grandmother with a handicapped son is about to be foreclosed on. She desperately needs some help. 562 355 1559
Hi BJ,
Try going to MakingHomeAffordable.gov. They have free HUD approved counsellors listed in your area. If they cannot help they can certainly refer you to someone that can. Good luck.
I own 2 homes one is being rented out now because I thought I was getting a loan mod..now the lender has sent them and myself a date for notice of auction and my renters will not pay there rent now to me.,they say they are going to deal with the bank and stay there until they are kicked out by the bank.. I tried to tell them that I still own the house and that they need to pay the rent..to me and they won't so I gave them a 3day notice to quit or pay and they still aren't going to pay or move.. I am thinking of declaring Bankruptcy and just letting both go back.. what can I do to have these renters pay me so I can try and save these houses?
Unfortunately there are many renters that are under the impression that if the loan payments are delinquent they do not have to pay rent. This has worked for some of the renters because the owners are walking from the homes and they do not pursue an unlawful detainer. Your only recourse is to evict them for non payment which you have every right to do. The problem is that it would then be tough to find a renter that is willing to move into a house that has a pending foreclosure. You can certainly try to negotiate with your renters and let them know what you are trying to do. Maybe if you show that you are willing to pursue the Unlawful Detainer they would work with you.
How did your situation turn out with your renters not paying? We are going through same situation but the tenant is our granddaughter. Looking forward to hearing from you.
Can you tell me how your situation turned out. We have the same issue, our tenant is our granddaughter who is refusing to pay rent.
what about ca code 890, that if the owner is in default and collecting rent on a property in which they have no intention of paying the mortgage with it, isn't it called skimming?? And didn't they pass a law for renters in order to give them no less than 90 days to move only after the sale to the new owner, as long as they can prove that they are pre-existing tenants?
HI Kathy,
CA Civil Code 890 specifically applies to the first year period after acquiring the property or those that rent a property without the owners consent.http://www.foreclosureradar.com/ca-foreclosure-law/ca-foreclosure-law-civil-code-890.
In terms of the 90 day notice that is SB 896 and there is a great blog post at http://www.foreclosuretruth.com/blog/sean/auction-investors-reo-brokers-...
I was never given a notice of sale that was recorded 12-09-2009, it was never posted on the property. I was contacted by the lender right after the first sale date 12-28-2009 that never happened, to do a loan mod. I have been going through this process for months, and right out of the blue, they sold my house. I am sure that I have recourse?
Hi Elizabeth,
As you probably know the lender is required to post (on the property), publish and record the Notice of Trustee Sale in CA 20 days prior to the first sale date. After that they can postpone (resetting a new sale date each time they postpone) for up to one year before they must re-post, record and publish a new notice. You can certainly hire an attorney to review the case to make sure that all non-judicial foreclosure procedures were followed. It is unlikely that your claim that you did not receive a notice posted to your door would be enough to have the sale rescinded.
I'll add that I've seen homeowners challenge a foreclosure sale on this basis, and in each case the trustee produced a picture of the notice taped to the door.
You can postpone a Sale Date in CA, AZ, NV(Trustee States)by a Trustee Verification process. It is a judicial process that verifies the trustee's ability to foreclose on the property.
It’s NOT for an unlimited period of time, just an indefinite one that is significantly long. It doesn’t cancel a foreclosure, it just keeps the trustee from foreclosing while they meet the requirements of a legality challenge. It only works in Trustee Sale states. (California is a trustee sale state.) However, it can easily triple the amount of time that a trustee can take to complete the foreclosure process. It doesn’t work from the lender side at all, it purely focuses on the trustee side of a foreclosure sale. The trustee will eventually be able to finish the Trustee Sale but this has been used to delay the sale up to 41 months. The minimum time it has worked is 6 months and 15 days so far. That’s the minimum time so far it’s taken for the trustee to comply and then proceed with the sale.
A client may qualify if:
■The Trustee Sale Date is 30 days or less from now
■You have filed Bankruptcy, been denied for a loan mod or a temporary restraining order was lifted
■You need more time to facilitate a short sale, regular sale or loan modification
■If you are renting from a landlord or losing your home that you want to stay in
A Trustee Sale Legality Challenge is only a TEMPORARY solution to keep the foreclosure sale date at bay. We can use it to only delay the sale – not cancel the foreclosure. It is a complex tactic that focuses on stalling the sale by focusing on the trustee sale legality. You can delay the sale for 6 months plus by using this method. This is NOT an inexpensive route however, but it’s cheaper than paying the mortgage and prevents a sale without doing credit damage like a bankruptcy filing. It has delayed sales for up to 41 months. We can use this as “insurance” for a “lock out” of truste sale while pursuing other solutions. Just to make it perfectly clear: We can ONLY buy time by utilizing a trustee notice of sale challenge to push off the sale date significantly into the future. Some other method must be used to actually resolve the foreclosure!
Vic Pillai
Lighthouse Consulting Group
1800 529 2959 ext 1003
vic@lhcginc.net
i was trying to get my loan modified due to hardship,filling chapter 7 had to close our buisness & seperation.. From sept through nov. i was giving three different addresses & fax numbers. had to submit new modification apps. w/all the extras paperwork @ least once a month..i would get the run a round ...i felt that my morgage company was no help @ all..I was under the impression due to all the fraud it was best for us to deal w/ our lender direct... notice of trust sale was via certified mail. I recieved on dec 13th.. auctioned on dec 28th for $190 to the bank.& i gotta be out by jan 31st... it just doesnt sound rt...Help
we can reverse the sale of your property , all we need is the address to check the mistakes from the foreclosure company
all foreclosure company's make mistake on the foreclosure process, you just have to get the comany who can find the mistakes
call 1-877-283-8169
My husband was laid off in July 2008 and we haven't paid the mortgage since then. We just received a default notice on 2/4/11. For a very long time, we didn't even receive the usual monthly statement. While I'm grateful that we've had a roof over our heads, it seemed extremely strange that the foreclosure process hadn't started sooner. Our mortgage was transferred more times than I can remember. Is it possible that some legal proof required in order for the lender to foreclose has been lost by them? We did call them a number of times to tell them my husband was still unemployed and I am on permanent disability. Their response was "Thank you for calling and please keep in touch." My husband finally has a job offer-made to him 2 days before we got the default notice. I don't know what to do - paying back 30 months back payments seems insurmountable, especially since the new job pays significantly less. We haven't sold because of the market and also because there's repairs we haven't had the money for. Is it time to let go of our home or should we attempt to keep it? Thanks.
Hi Mary,
We are in unprecedented times in terms of the delays in the foreclosure process. You can read more about this by going to http://www.foreclosuretruth.com/blog/sean/foreclosure-roulette/. Now that your husband has a job and since the Notice of Default has only recently been filed you may want to try to get a modification of the loan if you wish to stay in the property. The lender MAY be willing to forgive the past interest or tack it on to the balance. You will not know unless you try. You can also reach out to a FREE HUD approved counsellor that can help you with your options by going to Makinghomeaffordable.gov. If you are really wanting a make a fresh start but you want to avoid foreclosure you may want to consider short selling your property. There are numerous agents that you can meet with that specialize in this type of sale. The good news is that your husband now has a job and you can really focus on restarting your lives and doing what is best for you not only in the short term but considering the long term as well.
Mary - Your situation sounds very similar to ours. Is your lender Bank of America? We purchased our house in August 2006. My husband took several financial hits in his business and we did a chapter 7 bankruptcy in 2008. We were already in foreclosure as well. We tried and tried to get a loan modification...especially after BofA took all of the government money. The last time I talked to BofA was in 2009. I called once again to talk about a modification. The call center agent simply laughed at me and said they weren't doing any loan modifications. We didn't make a single house payment after that and they never contacted us until 3 weeks ago. We received a loan modification packet via FedEx. They called less than a week after receiving the completed package from us and said they would have a modification offer in 7 to 10 days. Wow. We have paid the home insurance the whole time but we have not made any of the repairs necessary on our 'classic original' home. It needs a new roof, the central air and heat quit working 2 years ago, the electrical panel is state of the art 1959 and we blow circuits constantly, the plumbing is shot, the gutters are falling off and I could go on. All of this we have made BofA aware of but they've not done or said anything.
Anyway, keep me posted on your situation.
Diane
hello read your artlicle..i also have bofa.. Im deliquent 9 months ive tried a probation period for loan mod. And skipped one payment and did not get approve. Ive spoked to the bank numerous times and they keep feeding me horse manuer....i have a sale date next week i dont know ehat to do all i want is a loan mod please help thank you
Hi,
Due to a divorce the home is vacant and we have not paid a mortgage since 07/2009, we have tried shortsale, deed in lieu, foreclosure, modification. Nothing seems to work. We received the orginal notice of default in 3/2010 they just pushed the forclosure back past the 365 day time frame (home is CA). What do we do?
Hi Gretchen,
It sounds like you have done all that you can. At this point it sounds like all you can do is to wait for the bank to foreclose. It is unfortunate that this has taken so long. The Founder of ForeclosureRadar Sean O'Toole wrote a blog post several month ago explaining why it is taking to long to foreclose. Although this will not help you expedite the foreclosure process it may help to explain why things are taking so long. http://www.foreclosuretruth.com/blog/sean/foreclosure-roulette/
Surprisingly I found an attorney that "gets it" in the Northern District of California and can litigate in District Court. Has several positive citings in similar cases. If anyone is in need, I would be happy to give you the contact. Is this allowed in this forum?
Hi Cindy,
You are welcome to post referral information especially when the service can be a benefit to those that post to this forum.
Please any info would help... they sold my grandparents home three days ago without our consent paper fraud etc... im in southern california but any help ... helps! thanks so much
Hi NA,
You would need to seek legal advice. When a property is sold at trustee sale the trustee must post, publish and record the documents in accordance with the foreclosure laws of that state. You will first need to examine the documentation to see if there was an actual problem with the documentation.
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