OT: Sale of Treasuries as part of home purchase - how long does it take?

[NickRU714]

Moving out of NJ and down to VA closer to wife's family

Our buyer is funding her down payment via Treasuries (approximately $290,000 out of $990,000 purchase price).
Closing on Monday now likely delayed because she is still working on selling them. We only found out an hour ago.
We came out of attorney review on July 17th - 45 days ago!

How long does it take to sell these things? Online is saying it takes 1 day. Maybe 2.
Anyone with actual experience either selling Treasuries or having them as part of a house sale?

 

[RUskoolie]

How did either realtor on each side not bring this up (although I doubt they know what a treasury bond is).

 

[NickRU714]

My mortgage broker for VA property said his experience is they can be liquidated in 2 days.
So the buyer just sat on her *** for 42 days?

 

[Fat Koko]

This is a red flag.

US Treasuries are the most liquid securities in the world. Should be T+1. On Monday click sell, on Tuesday have cash. As easy as buying something on Amazon and getting it next day on your porch.

Even then, the buyer could transfer the securities to you, then you could sell them. The complication is the the T+1 could mean $290,000 is $289,900 or $290,100 when the other party receives it and people sometimes squabble over this.

 

[RUTGERS95]

lol

Dear Abbey, today I opened a checking account

OP, one day to sell, one day to settle. Day of settle they will be able to begin transfer. It's a fking marketable security, no different than a stock except for faster settle

 

[ClassOf02v.2]

I’d be pretty annoyed at the buyer for not planning something so simple in time for the scheduled closing.

 

[RUTGERS95]

I’d be pretty annoyed at the buyer for not planning something so simple in time for the scheduled closing.

attny should have a provision for this and it should start at 1k a day

 

[NickRU714]

Late night update:
Not the treasuries. They were redeemed a while ago.
Its just TD Bank hasn't given the clear to close yet on their mortgage.

WTF? What's the hold up then?

 

[ClassOf02v.2]

Late night update:
Not the treasuries. They were redeemed a while ago.
Its just TD Bank hasn't given the clear to close yet on their mortgage.

WTF? What's the hold up then?

Your attorney should be fighting this fight for you.

 

[Fat Koko]

Late night update:
Not the treasuries. They were redeemed a while ago.
Its just TD Bank hasn't given the clear to close yet on their mortgage.

WTF? What's the hold up then?

Tell the deadbeat wannabe buyer they are done.

Dealing with people who string you along with no intention of doing what they agreed is a dead end.

Move on and sell the real estate to another buyer who shows they have the $ to complete the transaction.

 

[RUskoolie]

Late night update:
Not the treasuries. They were redeemed a while ago.
Its just TD Bank hasn't given the clear to close yet on their mortgage.

WTF? What's the hold up then?

Banks close when they feel like closing. Thats the unfortunate reality.

 

[DHajekRC1984]

Late night update:
Not the treasuries. They were redeemed a while ago.
Its just TD Bank hasn't given the clear to close yet on their mortgage.

WTF? What's the hold up then?

Sorry for your mess...and I felt your pain. For starters, the good thing is I guess those Treasuries were online thru US Direct. I had to redeem 10 - $1000 PAPER EE Savings Bonds for an estate and it took over 3 months Dec 25 to March 26).

I was under contract to close on June 15th. A NJ Tax lien was discovered by one of the other owners who owned 9% of the property. (thanks for not fckin telling me friend). It cost us $9k in legal fees to get it set aside so we could close. That was finally done on August 5th. My freakin attorney and the title company waited until then to start drafting the deed and paperwork and it took them 3 weeks to get it all set. Costing me another $1500 in taxes , insurance, utilities, and maintenance. The buyer came back asking for $5k in concessions for the delay...and luckily we settled on $2k and closed on Thursday. But the wire of funds from the bank in CA. didn't come thru till yesterday so I didn't even walk out with the check or have it yet.

Good luck, you're close. Hang in there.

 

[Bagarocks]

Lawyers and Realtors, the one thing they never lose... money.

 

[NickRU714]

Late night update:
Not the treasuries. They were redeemed a while ago.
Its just TD Bank hasn't given the clear to close yet on their mortgage.

WTF? What's the hold up then?

Liar!

Update to the update:
Still no "clear to close"

We are back to she didnt sell the T-Bills!!! Hard deadline of September 11th (date her next set of treasureries mature. She included her treasury inventory as part of the signed contract).

NJ home is packed up. Had to have the movers plan to store until 9/4 (at a cost).
Holding until 9/11 will be crazy expensive.

Our attorney said we have no legal recourse until 10 days after closing date.

FML!

 

[NickRU714]

They basically lied to our realtor last week

 

[kupuna133]

Liar!

Update to the update:
Still no "clear to close"

We are back to she didnt sell the T-Bills!!! Hard deadline of September 11th (date her next set of treasureries mature. She included her treasury inventory as part of the signed contract).

NJ home is packed up. Had to have the movers plan to store until 9/4 (at a cost).
Holding until 9/11 will be crazy expensive.

Our attorney said we have no legal recourse until 10 days after closing date.

FML!

Why didn’t the attorney or title agency have the proper funding in the escrow account prior to closing date? Minimally they should have had proof of liquid funds. Our attorney has made it common procedure in our closings that a minimum of 10% closing price needs to be held in escrow 7-10 days before closing and remaining funds need to be in account 2-3 business days prior to closing. We were burned in a transaction many years ago similarly.

 

[Fat Koko]

Lawyers and Realtors, the one thing they never lose... money.

Not true!

The lawyer I used on several NJ residential real estate transactions was sentenced to 7 years for money laundering. The scheme involved selling a property in Newark to a dead man and stealing the mortgage proceeds along the way.

Several real estate agents went to prison too. All by way of a single house in Newark.

The deputy attorney general and FBI special agents put the real estate attorney and real estate agents behind bars. They not only lost money but lost their freedom too.

I know way too much about real estate-related fraud in New Jersey.

 

[Bagarocks]

Not true!

The lawyer I used on several NJ residential real estate transactions was sentenced to 7 years for money laundering. The scheme involved selling a property in Newark to a dead man and stealing the mortgage proceeds along the way.

Several real estate agents went to prison too. All by way of a single house in Newark.

The deputy attorney general and FBI special agents put the real estate attorney and real estate agents behind bars. They not only lost money but lost their freedom too.

I know way too much about real estate-related fraud in New Jersey.

So yer talking about lawbreakers thieves conniving liars and fraudsters.
I wasn't talking about criminals.
So my statement stands!

 

[NickRU714]

Why didn’t the attorney or title agency have the proper funding in the escrow account prior to closing date? Minimally they should have had proof of liquid funds. Our attorney has made it common procedure in our closings that a minimum of 10% closing price needs to be held in escrow 7-10 days before closing and remaining funds need to be in account 2-3 business days prior to closing. We were burned in a transaction many years ago similarly.

"Time is of the essense" letter issued.

Maybe this is now deserves a different thread:
Our realtor is now saying its common to miss settlement date in NJ/NY.
The date on the contract is more of a floating target than a set date.

For example, he emailed our attorney on Wednesday last week asking "do we have a closing date yet?"
We thought that was weird. August 31st was the closing date according to contract and every single form we've signed.

How does anyone is NJ schedule a moving company or utility shut off or furniture delivery if closing dates aren't known until the week before?
And it could be "delayed" a week or two?

 

[newell138]

Liar!

Update to the update:
Still no "clear to close"

We are back to she didnt sell the T-Bills!!! Hard deadline of September 11th (date her next set of treasureries mature. She included her treasury inventory as part of the signed contract).

NJ home is packed up. Had to have the movers plan to store until 9/4 (at a cost).
Holding until 9/11 will be crazy expensive.

Our attorney said we have no legal recourse until 10 days after closing date.

FML!

This happened to us when we sold in S Brunswick. Lady kept stringing us along and we had already moved and were renting the house we were buying until close. We finally saw enough red flags and said bye to her and our realtor found another buyer

move on from her

 

[NickRU714]

This happened to us when we sold in S Brunswick. Lady kept stringing us along and we had already moved and were renting the house we were buying until close. We finally saw enough red flags and said bye to her and our realtor found another buyer

move on from her

We're starting to look at that.

I'm requesting all communication about her funding. Requests from title company, responses, extension requests.
Title company standard procedures and guidelines for receiving funds.

If the money was just sitting in her savings account, would they be this laid back about enforcing the settlement date?

 

[SHUSource]

This happened to us when we sold in S Brunswick. Lady kept stringing us along and we had already moved and were renting the house we were buying until close. We finally saw enough red flags and said bye to her and our realtor found another buyer

move on from her

I agree that moving on might be your best bet here if you can. Year ago when I sold my first house, we had one family agree to the price right away, and were planning to pay cash. The dad even brought the whole family to have a look around after we tentatively accepted. I forget the details, but it became evident pretty quickly that they did not have the means to make this purchase, and we stopped the process. That was just the prelude to the real fun.

Not too long after, we got a good offer from a couple and accepted. We already had a signed contingency agreement to buy our next house, so once we accepted the offer on ours, things were set into motion. All was moving along fine and we had a closing date. We were completely packed and ready to go the day before the closing when the first delay happened. Their lender was not ready to do it. This goes on for a few days, almost a week. Meanwhile, we were on standby. We wound up pulling a few pots and pans and were going to the grocery store every day to buy one day's worth of meals, and kept it really simple. I lost about a dozen lbs. in a week! (Which was a nice benefit; I had plenty to spare.)

This stretched on for about ten days. Our sellers were pissed because they had moved into their new place, but had counted on us being ready to go at closing. They knew it wasn't our fault, exactly, but were pressing us to move on from our buyers, or else incentivize them (somehow!) to get it done. In the end, they were unable to get the mortgage themselves, and had some guy (not sure who he was -- a dad or relative) become the de facto buyer and I guess they paid him instead. Whatever. So it finally got done and we moved, but what a nerve-wracking C.F.

 

[NickRU714]

Unfortunately I dont think we can move on from her and have to wait out the 10 days.

Why do NJ contracts says "Time Is Of The Essense" if that doesnt mean anything and there is no recourse?
TOE letter is being served today so they have 10 days after to close.
Which just happens to coincide with her treasury maturity.

 

[NickRU714]

I agree that moving on might be your best bet here if you can. Year ago when I sold my first house, we had one family agree to the price right away, and were planning to pay cash. The dad even brought the whole family to have a look around after we tentatively accepted. I forget the details, but it became evident pretty quickly that they did not have the means to make this purchase, and we stopped the process. That was just the prelude to the real fun.

Not too long after, we got a good offer from a couple and accepted. We already had a signed contingency agreement to buy our next house, so once we accepted the offer on ours, things were set into motion. All was moving along fine and we had a closing date. We were completely packed and ready to go the day before the closing when the first delay happened. Their lender was not ready to do it. This goes on for a few days, almost a week. Meanwhile, we were on standby. We wound up pulling a few pots and pans and were going to the grocery store every day to buy one day's worth of meals, and kept it really simple. I lost about a dozen lbs. in a week! (Which was a nice benefit; I had plenty to spare.)

This stretched on for about ten days. Our sellers were pissed because they had moved into their new place, but had counted on us being ready to go at closing. They knew it wasn't our fault, exactly, but were pressing us to move on from our buyers, or else incentivize them (somehow!) to get it done. In the end, they were unable to get the mortgage themselves, and had some guy (not sure who he was -- a dad or relative) become the de facto buyer and I guess they paid him instead. Whatever. So it finally got done and we moved, but what a nerve-wracking C.F.

If we had known even a week ago, could have canceled the movers and stayed in the house.

We literally found out Friday 7pm.
And the expectation it was just TD Bank giving clear to close. So a day or two delay.
Not 2 week delay
Movers were coming Saturday afternoon.

If we knew it a week ago, could have cancelled movers and made it work.
Still unhappy but deal with it (and our VA sellers).

Now all our stuff in storage for 2 weeks?
Thousands of dollars lost

 

[DHajekRC1984]

Unfortunately I dont think we can move on from her and have to wait out the 10 days.

Why do NJ contracts says "Time Is Of The Essense" if that doesnt mean anything and there is no recourse?
TOE letter is being served today so they have 10 days after to close.
Which just happens to coincide with her treasury maturity.

Like in my situation it sounds like you are doing a TON of work yourself. I believe that TOE notice could have been sent long ago. Also, (I don't think) there is no reason you cannot go back to the buyer and request funds for your damages due to their delays and other nonsense.

My attorney sat on her A$$ too long and caused delays for us as the seller..resulting in the buyer asking for concessions. Then when we were all set it took them 2 weeks to get their crap together on the funding and I used that as counter leverage to reduce their ask from $15k to $2k.

Good luck Nick.

 

[RU Cheese]

What kind of house? Any chance it happens to be a field house???

 

[Knight Moves]

2 days is the right answer. anything else you are getting bs'd by the other side

 

[kupuna133]

Don’t know why you would have to wait for maturity date to sell. Treasuries are the most liquid market in the world. And there would be minimal difference in price if it is truly a week until maturity date. No real haircut. There’s no reason to delay the process. You’re being played by everyone involved. Both realtors and attorneys. First call would be to the board of realtors to report the buyers realtor.

 

[SHUSource]

If we had known even a week ago, could have canceled the movers and stayed in the house.

We literally found out Friday 7pm.
And the expectation it was just TD Bank giving clear to close. So a day or two delay.
Not 2 week delay
Movers were coming Saturday afternoon.

If we knew it a week ago, could have cancelled movers and made it work.
Still unhappy but deal with it (and our VA sellers).

Now all our stuff in storage for 2 weeks?
Thousands of dollars lost

It's almost impossible to know, especially heading into it, if one party is not being fully transparent. It's rough.

Thinking more about this, I remember that my "agent" from Foxtons (Remember them? What a clown show; serves me right for signing with them!) went completely AWOL and I was doing all the negotiating myself, even since before the ultimate buyers' offer was accepted. That was interesting...

All this might have been happening 20 years ago this very month, now that I think about it. Maybe later in September.