Posted by GBailey_KY on 1/28/08 10:50pm
Msg #232913

Foreclosure-Purchase Signing Question

After not doing signings for about a year now (father's terminal illness and death), I have started back and have been trying to catch up by reading posts here and reviewing my TSR Training Guide.

However, I have a signing tomorrow that I'm not quite sure about. The title company has sent me photocopies of a Special Warranty Deed that has been signed by the financial service as the conveying party. Now I am to have the buyers sign on a separate signature page and then notarize the signatures, after which this page will be attached to the original document. (The acknowledgment does reference "deed." My understanding is we are notarizing the signatures, not necessarily validating the document---but, my past work in the legal environment causes me to want to double check to make sure no one else sees any problem with this. Have worked with this particular title co in the past and do not feel they are trying to "pull a fast one" or anything, just have this nagging question.

Hopefully someone can make sense of my post and give me a little peace of mind about this transaction?

Thanks in advance!
Ginger

Reply by desktopfull on 1/29/08 12:09am
Msg #232919

You are correct, you are notarizing the signatures, you do not validate the documents. Special Warranty Deeds are issued by the courts during foreclosure proceedings to assign possession of the propertyto the plaintiff. I am not giving legal advice, I just represent the plaintiff's attorney at the foreclosure sales and arrange for returning that document to them if no one bids over the judgement awarded them at the sale.

Reply by Linda_H/FL on 1/29/08 9:29am
Msg #232935

Why would the buyer be signing the Warranty Deed?

Unless it's a state-specific thing involved with the foreclosure process.

Reply by MistarellaFL on 1/29/08 9:38am
Msg #232937

Re: Why would the buyer be signing the Warranty Deed?

The function (as I understand it) of a warranty deed, is that the seller guarantees that no other party holds interest in the property, notwithstanding exceptions noted in the deed.

If the buyer should later discover encumbrances undisclosed in the deed, he or she can sue the seller.

Reply by MistarellaFL on 1/29/08 9:44am
Msg #232938

Sorry, Linda, I didn't read right the first time

It is the seller signing the WD IME.
Maybe that is what the original poster meant, but if not, good question.
Why would the BUYER be signing the WD?

Reply by Teresa/FL on 1/29/08 5:51pm
Msg #233024

Some Special Warranty Deeds require the buyer to sign

I have seen many of these when doing closings for home builders. These deeds contained special conditions such as a requirement to hold title to the property for a minimum of one year before selling or converting the property from a primary residence to an investment property. These conditions were in the sales contract signed by the buyer and were carried over to the Warranty Deed as conditions of the purchase.

Reply by MistarellaFL on 1/31/08 12:36pm
Msg #233315

Re: Some Special Warranty Deeds require the buyer to sign

That is good information to know, Teresa, and thanks for sharing that.
I learned something new today!

Reply by BrendaTx on 1/29/08 6:23pm
Msg #233037

**Special Warranty Deeds are issued by the courts during foreclosure proceedings **

Special Warranty Deeds are a common conveyance instrument in Texas...along with Warranty Deeds, and General Warranty Deeds.