Texas Commercial Law Firm

6. Reconveying sale. When a successful third party bidder leaves to obtain cash, the trustee should announce to the other bidders that if the high bidder does not reappear with cash prior to a specified reasonable length of time, the foreclosure sale will reconvene. In the event the high bidder does not return and no other bidders return at the designated time in the designated place, the foreclosing lender may purchase the property. Mitchell v. Texas Commerce Bank - Irving, 680 S.W.2d 681 (Tex. App.--Fort Worth 1984, writ ref'd n.r.e.). 7. Rights of Third Party Purchasers. A third party who pays cash at the substitute trustee sale obtains equitable title prior to delivery of the substitute trustee's deed. Pioneer Building and Loan Association v. Cowan, 123 S.W.2d 726 (Tex. Civ. App.--Waco 1938, writ dism'd, judg. corr.). However, any attempt to enforce an agreement against the lender for sale of property at foreclosure on credit must be evidenced by written agreement, Kirkman v. Amarillo Savings Association of Amarillo, 483 S.W.2d 302 (Tex. Civ. App.--Amarillo 1972, writ ref'd n.r.e.), but such written agreement is not required with a cash sale. If a successful bidder at a foreclosure sale fails to pay cash, there is precedent for the party entitled to receive any surplus for having the right to set the sale aside. McClure v. Casa Claire Apartments, Ltd., 560 S.W.2d 457 (Tex. Civ. App.--Beaumont 1977, no writ).

8. Borrower has no Right to Redeem. A non-judicial foreclosure sale completed in compliance with law is equivalent to a strict foreclosure and the borrower has no right to redeem the property by offering to pay the balance owing at the time of foreclosure at some later date. Rogers v. Fielder, 392 S.W.2d 797 (Tex. Civ. App.--Fort Worth 1965, writ ref'd n.r.e.).

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