California Equity Buyers Law
Can someone give me guidance. As I understnd the law, untill after nidnight of the 5th business day after the day we sign a deal, I can not ask a seller to sign anything other than the agreement for the deal. example - we sign a deal on wed, Jan 1st I can not ask him to sign a deed and other documents until Thursday Jan 9th.
If I want to pay off the loan, on 1/9 I can ask him to sign a quitclaim deed and limited power of atty and then drive down to the trustee with a cashiers check to pay off the lien.
BUT the trustee may tell me that I must do that 5 days before the sale date, eg 1/14.
So if I am within 14 days of the sale date, I may not legally be able to buy.
Is this right?
What is being done at this moment here in California.
I present an offer to the Seller, it is accepted. I search title. Acceptable. I draw a Grant Deed and whatever notes are involved if any. I deposit the amount the Seller is to receive. Then we wait five days. At the end of that period of time I record the Grant Deed no 1, I record the Trust Deed if any, no 2. I give the Seller his check and note if any. I shake his or her hand, suggest lunch or a drink. I of course had them execute aka fill in a Statement of Identity for the title company at some future time when I need a policy of Title Insurance. I take possession of the house -Or I arrange to help them move. Or I start the Unlawful Detainer Action, whatever. And dats da truth.
The problem is of course, what was the intent of the Legislature? I think it was just to create a pause and that is what I do. Pause, 5 days." like Pease Porriage Pie, some like it hot, some like it cold and some like it in the pot five days old."
I know there are a lot of people coming up to the front door just behind me, so I spear the deal with great care and leave open all the doors of communication. After all I am being helpfull and solving their problem and shhh dont tell, Mine..
Actualy the conversion of Containers into housing is cutting into my time. They are the perfect Calif. House. Termite Proof, Earthquake Proof, Fire Proof, and, they Float!!!
Committed, Lucius
When dealing with a Trustee or a Beneficiary that is refusing a tender to bring current an obligation on a property.
Merely inform that in California the Trustor has the right to bring to a current status any obligation right up to the day prior to sale. Indeed it is sometimes done the same day as sale prior to the Beginning of Sale. I have also seen Court Orders served on the Trustee the day of Sale Restraining him from so proceeding.
It was always the intent of any Legislation to reduce the foreclosure rate and a Trustor also has the right to one postponment of sale on proper request to the Trustee/Beneficiary.
Remember the threat of legal action is real and undesired by all Trustees and most Beneficiaries. Use It.
Hope this helps.
Lucius Trustee on occasion.