If an assignment of title isn't completed between two mortgage companies is the mortgage void?
In Michigan law, if an assignment of title isn't completed between two mortgage companies is the mortgage null/void? The company selling the account is out of business, and the new company "owner" can't find the papers for the transfer between them. The new company wants the tenants to sign a new title between them, with the original date of the first signing between the out of business company and the tenants, on the new paperwork.
- unhappy_camperLv 78 years agoFavorite Answer
That's your title agent's job, to collect and verify documentation. The mortgage you have approved on your side is inactive until it receives the approval to transfer the title. Even though the "seller" has gone out of business the title is still held as an asset, if they want to close the sale they will produce the necessary documentation. These things happen, and some times closings are delayed due to missing papers.
Not sure about the laws in Michigan, my opinion is that the closing will just be held in limbo until all of the papers are in order. Talk to your agent to know for sure.