What ';seems'; like a simple fix is delaying our closing...?

We found a great home that has recently been foreclosed. They accepted our offer on September 4th with a closing date of September 30th. We have been approved for a FHA loan, and have gone through underwriting. We paid earnest money, had a FHA assessment, paid for a home inspection, bought home owners insurance, etc. over $3,000.00 invested thus far.



The day before we were due to close, I got a call from my mortgage guy saying there is a problem, the company listed on the title is not the company that accepted the offer. They are apparently ';sister'; companies and an attorney gave Power of Attorney to the wrong company? Unknown to me, they (our mortgage company and the title company) were working on this for over a week with no responses from the owners. Here is the note we got on September 30th from the title company....



';First of all the Bank never gave ';REO Company 1'; (the company that signed the offer) Power of Attorney to sign the contracts, etc. so the contract needs to be re-executed with ';REO Company 2'; listed as the seller and signing. The other issue is that this property was incorrectly vested when the foreclosure was done, so they have to have the foreclosure attorney correct the vesting to read ';REO Company 2';, instead of ';REO Company 1';. We previously addressed this with our contact over there when the title work came back and was told it was fine and that they could sign off that way as well. Apparently that person did not know what they were talking about because now they are stating it is wrong......'; she continues...



';With all that being said, we unfortunately will not be able to close this today. They are supposed to get back with us later today to let us know the time frame on corrective vesting deed and we will also need the agents to revise the contract and get it re-executed. Any expenses incurred by the buyer because of this delay will need to be addressed between the listing and selling agent and approved by the seller when the new contract is executed.';



*We rewrote the offer (no change n purchase priceand have extended our closing date. We love this house and am not willing to walk away.



The bank that owns the property is located in S. Carolina, their lawyer is located in Florida, the REO Company 1%26amp;2 is located in California and the property is in Wisconsin and listed by a local real estate company.



We keep hearing from our mortgage guy and my real estate agent that we will get this house.....my question is this....HOW LONG CAN THIS TAKE TO GET RESOLVED??What ';seems'; like a simple fix is delaying our closing...?
6 days to 6 months. But if you don't cancel your contract, you probably have the house ';tied-up'; so no one else can buy it.



This situation is happening to thousands of buyers. The loans were sliced into 10 sections and sold off to 10 different banks. So each bank ';owned'; 1/10th of the house (after the foreclosure). The title company wants to know that someone owns 100% of the house. The banks are busy re-assembling the loans.



You have a deeper concern. Your contract is signed but not by the ';owner';. No one will probably mention that. But the real owner could say that they have no agreement with you.What ';seems'; like a simple fix is delaying our closing...?
It can take quite a while and .....no matter how long it takes it will SEEM like an eternity.....AND



If it were me I would...



Repost this question in the category- Business and Finance



Sub category- Renting and Real Estate



They are on the category list you scanned over before picking this category at the end.....OR if this was the '; suggested category'; picked by the AI program, you need to click on ';All Categories'; and choose the appropriate one.



I know it can be confusing....so many categories...BUT



Posting in the appropriate category will expose your question to many people who have experience and/or expertise in your subject. That way you'll get more/ better answers.



The Yahoo Products category, sub category Yahoo Answers (WHERE YOU ARE NOW ) is where we Q/A about the website itself. You know, bugs, glitches, website operations etc.





Hope this helps....JT



PS----IF you type the word ';ANSWER'; anywhere in your question header, this idiotic program will ';suggest'; the subcategory ';Yahoo answers'; instead of the appropriate one.
It can take another 8 to 12 weeks. Foreclosure are the most complicated to buy. Too many signatures needed along the way.

Grin and bear it