The idea is that a relative cannot profit from the Banks' supposed loss.
At the Trustee Sale, anyone can make a bid and buy the house; I have never heard of any exclusions.
Now, for the bad news;
To buy at the Trustee Sale you will need CASH, only CASH! I think, if you put up a bunch of cash deposit, they will give you 24 hours to get the rest, (but do not bet on this.)
Also, very few houses are sold to individuals via the Trustee Sale; usually, the Bank will make an offer equal to the amount of the outstanding loan; meaning, way more than it is worth.
You might be better off waiting for the Foreclosure and Listing.
Good luck and may God bless
Notwithstanding all this, I would advise running it by an attorney to be on the safe side. And as Ron says, you WILL need cash. Cashier's checks in practice. The bank won't wait for you to get money wired.
Bernard Gibbons, J. Rockcliff Realtors
DRE License # 01331583
Phone (925) 997-1585 - email@example.com
I sincerely wish you all the best in this difficult time.
Marston Myers - Broker