Asked by Susanne, Haysville, KS • Thu Nov 3, 2011
My short sale was approved and I had two offers on the house prior to approval. The mortgage company stated they had canceled the foreclosure sale, but did not notify the law firm handling the foreclosure until the day AFTER the sale. The law firm then notified the highest bidder that it had been canceled. Once the mortgage company found out that the bid was higher than the short sale offer, they changed their mind and decided to go with foreclosure. I had been approved for the short sale AND had a buyer. I followed their guidelines. Can they do this?
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