Posted by Natalie-VA on April 14, 2007 at 09:37:36:
Yup, you’re right, it can be done. I’ve actually done a few. Sometimes I personally deliver the money to the trustee. Most lenders won’t accept the payoff directly once they turn it over to an attorney.
The key is to use a settlement agent that’s really on the ball. I’ve been on both sides. I’ve closed on stuff on it’s way to sale (successfully), and I’ve bought stuff where payoffs didn’t make it there in time. Those are usually due to the settlement agent not getting it done.