A bank by mistake put a notice of trustee sale on my property. At the same time, my property is in escrow to be sold. And the buyer will go away because they can not buy due to the cloud in title. Meanwhile, the house is sitting pretty and empty, and I am paying monthly mortgage and costs. What legal compensation can I get? I could wait for the bank's slowly waking up to the mistake, or I can ask legal action to expedite the solution. The issue has been outstanding for 2 months already. What specific attorney shall I seek? (expertise in title? ) and what compensation shall I ask for?

If the bank made a mistake that cost you a sale, you can sue for your losses.

Get yourself a real estate attorney and sue for the amount of the sale price plus the amount you've paid for costs (mortgage, taxes, insurance, utilities, etc.) since the date the sale was supposed to take place.

A bank by mistake put a notice of trustee sale on my property. ...
Do you mean that they physically posted the property, or something else? If the former, remove the sign.


... I could wait for the bank's slowly waking up to the mistake, or I can ask legal action to expedite the solution.

Or you could tell them (the trustee, actually) about their mistake.

They posted on the property. I have been contacting the trustee and the bank for a month and finally got a response that" yes, we are just starting to be aware of the situation...and we will do our research and get back to you. " if it is a small local bank, the issue will be addresses and resolved in 3 days... but big bank, it seems to be communications are broken among different departments and people are assigned to handle the task that they are not qualifies... They are aware of the whole story and have all my documents... this mistake is confirmed by my 2 title companies... still they do not want to issue title insurance due to this issue...
The big banks are chaotic, they are taking the time to cover their behind... maybe looking foe mis-placed documents. In any event, I should NOT be held up for their mistakes.

Yes, sue the bank for damages.

Was there just a notice posted, or was it actually filed and in process of happening?

This is too complicated to do without an attoreny. If you had a firm written contract to sell home, and this cost you the sale, and you have proof in writing that this was the reason. You may sue them for any money lost from the sale falling though.

Why is your title 'definition of second home?'

they posted on the property.

I'm still confused here. If all they did was post a sign on the property, then you take down the sign and return it to the nearest branch of that bank.

But it seems they did more than that. Did they file anything with the county against the deed to the property? Putting up a sign does nothing. Unless something is filed against the deed, the Title company should certify clear title.

But you do have a case here if you suffered any loss by their action. You may even be able to claim punitive damages if they drag their feet on correcting things.

I would get an attorney, Should be able to get one to take this on contingency.

I'm still confused here. If all they did was post a sign on the property, then you take down the sign and return it to the nearest branch of that bank.

But it seems they did more than that. Did they file anything with the county against the deed to the property? Putting up a sign does nothing. Unless something is filed against the deed, the Title company should certify clear title.

I know I asked about the sign, but actually you are right: in a non-judicial foreclosure state (such as the one I come from), recording a notice of default and election to sell is what one does to institute a foreclosure.



But you do have a case here if you suffered any loss by their action. You may even be able to claim punitive damages if they drag their feet on correcting things.

I would get an attorney, Should be able to get one to take this on contingency.

All true and good advise.

Sorry about the subject. It is the first time that I am using this website... Tried to change it, but can NOT.

Sorry about the subject. It is the first time that I am using this website...Tried to change it, but can NOT.

What should the subject be?

I'm still confused here. If all they did was post a sign on the property, then you take down the sign and return it to the nearest branch of that bank.

But it seems they did more than that. Did they file anything with the county against the deed to the property? Putting up a sign does nothing. Unless something is filed against the deed, the Title company should certify clear title.

But you do have a case here if you suffered any loss by their action. You may even be able to claim punitive damages if they drag their feet on correcting things.

I would get an attorney, Should be able to get one to take this on contingency.

To clarify, the bank has recorded the notice of trustee sale at the country and now postponed it... and my house is in escrow by a real estate company via MLS ( the standard way selling a house in the open market).

Could you clarify get a attorney on contingency? does it mean." I will not pay until the attorney wins the case?" Thanks... and thanks to everyone's help... this is my first experience with "Ask me".. I appreciate all your feedback

To clarify, the bank has recorded the notice of trustee sale at the country and now postponed it...and my house is in escrow by a real estate company via MLS ( the standard way selling a house in the open market).

Could you clarify get a attorney on contingency? does it mean." I will not pay until the attorney wins the case?" Thanks...and thanks to everyone's help....this is my first experience with "Ask me".. I appreciate all your feedback

Yes, Contingency meas the attorney will take the case for a percentage of what you win, and his fees may be included in the award.

So the buyer hasn't backed out yet? Has a closing been scheduled?