Re: Former owner buying house at trustee sale

MTI: can you tell us a little more about how this went down? Did the borrower have only a huge 1st? If so, indeed he did get rid of some nice debt, as the one action rule means no def. judgment since the lender went the non-judicial route. If not, and there were jrs., that doesn't sound like a nice scenario. They can and do sue on their notes.

You say it's hard to believe it's legal? Really? Entities are legal, BK is legal....all kinds of loopholes are legal. If a homeowner who owed $250K and let it go to foreclosure, knowing they could afford it at $125K and let a friend buy it back for them, would that get you the same way? Or is it the fact that this guy had access to MMs in cash or credit to bail himself out that gets to you?