I hold the mortgage to a home which was supposedly sold. The current owner told me he was selling the home, then he just recently said he changed is mind. I them I called the attorney who was handling the transaction and he then told me that the house was sold and he was only lacking citizenship documents and a social security number from the seller but the seller signed all documents. They attorney then wanted me to send the title/ and security deed, which I then asked him I when I would paid the balance on the mortgage. He told me he could not send the funds to me until he received the citizenship documents and a social security number from the seller.
Do you think this is right? I have refused to send the security deed and title until I get paid. The house is in Georgia. I live in California. The seller is foreigner so maybe that is why they are having trouble with the citizenship documents and a social security number. Any insight would be much appreciated.

Oh just to add to the above, the agent selling the house just contacted me and told me that the seller has refused to give the keys to the buyers. The seller has refuse because since he did not provide citizenship documents and a social security number, he thinks he has not sold the house, and he hasn't been paid. The agent want me the mortgage to provide a key to the buyer, which I have refused. I have a horrible feeling this is going to be really bad.

I am not able to give you much advice other than **get a lawyer**. You need to know what your rights are and what is unreasonable to ask. I don't understand why those working for the buyer seem to think keys, deed, etc should be handed over before $$$, citizenship and SS are also secure. Just a thought (we rarely use it here, but...) perhaps getting an escrow agent to handle all these pieces would be smart. It is a NEUTRAL 3rd party that holds all the various pieces, documents, etc until everything is in place, and is authorized to handle closing on your behalf and that of the other party(s). Like another Lawyer, for example.
Protect yourself, though. I strongly recommend consulting your lawyer, asap.

Georgia is not an escrow state and attorneys are used in a real estate transaction. I have a call into the attorneys office but they are not returning my call.

So does anyone here know if social security number or citizenship papers are required to sell a house in Georgia???

Also is this normal that the real estate agent would request keys to the home from me mortgage holder? I know the agent is requesting the key from the seller, I can understand that, but me the mortgage holder, that doesn't seem right. I don't even have a key I don't own the house, I only have the mortgage.

Also I really did not think that the new mortgage holder/bank would release the funds until I released the security deed. The property doesn't have clear title. As far as I am concerned since the loan is hasn't been paid, interest is still accuring and I can demand the balance to be paid in full immediately, even foreclosure if no monthly payments are made.

Its a big mess. I am still in shock about the agent asking me for the keys! I hard since I am so far away.

Well an update to what has happened if anyone cares to know. The agent and the lawyers are no longer contacting me. After I refused to give the keys to the property (strange for the mortgage holder to do) and the original security deed (LOL I told them they were crazy if they thought I would send orginal, without receiving the money LOL). The only person I have heard from is the homeowner (the one I carry the loan for). He has sent me 2 months mortgage payments as if he still owns the property. I guess I'll just wait to see what plays out. I am ok as long as someone is paying the mortgage, the property stays insured and property taxes are paid, its all ok with me. If this is not a good idea, or if anyone has any insight please feel free to post it. I know this situation isn't one of those easier marketing questions, but any insights would be appreciated.

Thank you

I know almost nothing about real estate practice in Georgia so these are just general comments. If attorneys handle escrows in Georgia then the attorney who was supposedly handling the "problem" sale should conduct business in a way that protects your interest. Foreigners can own american real estate and sometimes there are restrictions placed on escrow funds to make sure that any government taxes are set aside from the transaction.

If it would make you feel more safe about getting what is owed to you prior to you signing over any deed or satisfaction of mortgage documents, you could 1) hire your own GA attorney to simply hold those documents for you, and he or she would turn them over to the escrow attorney when your attorney receives funds owed to you; or 2) hire a CA attorney to act as your agent; or 3) probably a CA title company could also act as your limited agent.

No matter what you do later, check now and make 100% certain that your security interest was recorded already with the GA county recorder's office. It should have been recorded at the time you got involved with that mortgage.

Thank you very much for your advise. We were still in Georgia when we sold the house and financed the property, holding the 1st mortgage. Our security deed was recorded, thankful I was still there to confirm. Despite calls to attorney (not mine but the one handling the deal), no one is responding to my calls. The person who I am carrying the mortgage for, has paid another months mortgage, and keeps telling me that he did not sell the property after all.

Thank you very for your help.

I don't know it sounds like maybe the seller got tangled up with selling the house to an investor didn't like the deal,and backed out of it.

So from what it sounds like you lived in ga,did owner financing and moved to california to sell your property here.As long as you are in first/senior lien position you are ok.
If you owner financed a second you will get wiped out when it forecloses unless there are enough excess funds to pay you off.

You said it does not have clear title and it sounds like you are in a mess.It's hard to tell fromy our post if the house was paid for and you finanaced it,you were a homeowner who seller financed all of the sale,or you financed some of the sale like taking back a 20 percent second.

You REALLY,REALLY need to get a re attorney in gerogia.Ga is very different with it's state laws and stautes than california is.The property is located in ga so you will need a ga re attorney.

Not giving legal advice,good luck,it's impossible to answer definitely without knowing all the facts of the situation and that is what an attorney is for.

The house was an investment property. It was fully paid when we sold it. We have the 1st mortgage on the property. We were still living in Georgia when we sold it so we are confident that security deed was recorded. The person we sold the property to was selling the property but from what I now understand since the attorney asked for citizen papers and a social security number has changed their mind.
Thank you for your suggestions and insight.

Just some observations and comments just by the posts.
No you can not do that. You are the note holder and not the owner. Therefore you should not even have the keys. The only reason why you can even enter the property is in the event the property is vacant you can secure your interest. (IE insure the property is secure and not subject to vandalism) 10000% Correct
Yes That is an IRS rule. If seller us not an US citizen then they are subject to a 10% tax. And has to be collected by closeing agent. In your case the closing attorney. Well he/she is correct. If the seller has not been paid then he/she really has not sold. Untill seller is paid they are still the owners period. Its pretty cut and dry on that. Absolutly not. In the fact the agent should know that if the seller has not been paid then the seller still owns the property. And thus the seller is the only one that can give out the keys. If you do have a set of keys you actually need the sellers(Owners) permission to hand out the keys. I am supprised by that one. Agents/brokers know no money no closing. If the seller has not been paid then he/she is correct and obligated to still pay you the (note holder) under the terms of the note. Other wise you are within your rights to forclose.