Mortgage Company Sues to Undo Foreclosure Sale

Wells Fargo forecloses, homeowner leaves, mortgage company takes title and possession after the foreclosure sale.

Nothing new there, foreclosures are epidemic throughout the country, especially in Michigan, and this involves a house in Detroit.

The twist?

Mortgage company changes its mind, hires a lawyer, pays more money out of pocket, files a lawsuit to undo the foreclosure sale.

More evidence they do not know what they are doing.

In Michigan, it costs at least $2,000 for the mortgage company to foreclose by publication, which is cheaper and faster than judicial foreclosure, also an option.

Then, we have a 6 month redemption period after the sale, during which the homeowner still owns the property, can live there, rent it out, try to sell, before the deed passes to the buyer at the foreclosure sale, usually the mortgage company that is foreclosing.

There has to be 4 weeks notice of the sale, so the entire process takes longer than 7  months.

Yet, Wells Fargo here decided to spend even more of its money, to undo, what it had spent thousands of its dollars, doing.

Wouldn’t it make more sense to have made a deal with the homeowner?

Related posts:

1. Are banks crazy?!!! Wells Fargo sells house at a Texas foreclosure auction for $49,000 less what was offered just days before the foreclosure sale AND by the same buyer!
2. What Happens To My Property After Foreclosure?
3. Florida’s Attorney General sues illegal mortgage modification company