Forclosure: Deeds Not Yet Transferred, Rate Lock Expired

[ylin]

What is the name of your state (only U.S. law)? Virginia

It is a forclosure home owned by Freddie Mac. However, the title is still in the name of previous owner - I was told the "deeds was not yet transfered", although Freddie Mac owns the house already.

While my lender have repeated pressed the closing attorney to finish the title binder, the closing attorney waited until the day of closing to initiate the title binder, and as a result it was not done until this morning (Oct 29). My rate lock expired yesterday, and it's likely it will cost me over $5000 to buy the same rate or pay $50 more per month in mortgage payment with the same closing cost.

The question is, can I ask for compensation of the monetary loss from the seller (Feddie Mac) because of the ignorance of the closing attorney (entitled by them)? To me, my loss originated from the fact that Freddie Mac was selling a home that the deeds were not yet belong to them legally. Should I negotiate with them now or can sue them for this later after closing?

One obvious point again me is that the closing of my contract was set on Oct.27, but with a 7-day extension for loan/title issues.

Please advise. Many thanks.What is the name of your state (only U.S. law)?