페이지

04:45 PM

I recently purchased 2 foreclosed parcels of land. 3 months after we closed escrow, we were contacted by the previous owner who claims that one of the parcels still belonged to them. They claim that only one parcel was supposed to be foreclosed on because thier Trust Deed was incorrect by listing both parcels when it should have only have included one. They claim that this "error" was never corrected by their lender, and all of my paperwork has the legal description for both lots and APN#s. Their bank, BofA went ahead and revised thier foreclosure document 3 months after we purchased it (without informing us) and now our title is clouded. Bank of America I guess believes they made the mistake and corrected it 5 years after making the mistake on the previous owners Trust Deed, 15 months the forclosure, and 3 months after new owners purchased it. We sought the advice of an attorney and he suggests we do file a Quiet Title lawsuit against the previous owner. The cost he is charging to get this started is $4,000.00, then will charge more if we need to proceed after that. Is this amount at least in the ball park? I've read on the web that they usually run between $500.00 to 2500.00, but I guess it could all depend on the complexity and how much will be required to defend, right? What a mess. I never thought a morgage company could revise the legal description to a property they no longer owned. We would have never known about this if the previous owner didn't track us down to tell us. Our Trust Deed included that parcel too, now what? Our title insurance denied our claim because the bank revised the documents after we closed escrow, so that's their out. any suggestions?

2bindenver · 09-16-2010, 08:57 AM

local real estate attorney.

LawoftheLand · 09-18-2010, 03:48 PM

Quote:

Originally Posted by DL24601

We sought the advice of an attorney and he suggests we do file a Quiet Title lawsuit against the previous owner. The cost he is charging to get this started is $4,000.00, then will charge more if we need to proceed after that. Is this amount at least in the ball park? ?

Hard to say if this cost is reasonable without knowing what is covered by "getting this started." This could include the court filing fees, title search, service of process, legal research, document drafting, and perhaps a portion of the $4,000 is a retainer fee. Or not.

I can't help being curious about a few things from your post:

1. Why is your attorney not advising you to sue Bank of America that has now admitted their mistake? Your contract with B of A was to buy 2 parcels; in the end, you got only one. Doesn't B of A owe you money back?

2. Now that B of A had admitted the mistake, it makes more sense to me for you and that prior owner to join forces in a lawsuit against B of A. If you just sue that prior owner, it's hard for me to imagine that the judge would give you clear title to the 2nd parcel instead of the prior owner, who was the party originally harmed by B of A.

3. Does the attorney you consulted specialize in real estate? It might be wise to get a second opinion, especially when many lawyers offer free initial consultations.

IMPORTANT DISCLOSURE: The questions above are purely for brainstorming purposes. Nothing in this post is intended as or should be construed as legal advice.

Trump · 09-18-2010, 04:18 PM

Quote:

Originally Posted by DL24601

... Our title insurance denied our claim because the bank revised the documents after we closed escrow, so that's their out. any suggestions?

I'm confused too. Why isn't the title company on the hook for the mistake regardless of who made it? I'm assuming you have an owner's policy. What does the policy state?

Treenoid · 09-21-2010, 06:38 AM

From what I read in your OP - it would seem that BofA has committed a crime (changing documents after the fact) and the state's attorney would be the place to go to get things rolling. BofA made the mistake, they should pay for it !!!

rjrcm · 09-21-2010, 08:09 AM

Same concern raised by Lawoftheland - why do you or your lawyer think you would win a quiet title lawsuit against the prior owner?

zoloz · 10-18-2010, 07:47 PM

Perhaps you should see what your Deed says. Does it include both parcels?
Was it notarized, dated and Recorded at the Co. Recorders?

Remember it's the Deed that conveys title

linicx · 10-19-2010, 12:41 AM

What a mess.You need a real estate attorney. A Quit Claim will "quiet the title" and remove the Cloud. Not all attorneys are experienced with real estate - especially messy titles.

The first thing the attorney does before any Document is Filed is researh the Title which requires a lot of reading, and find the error. He may go back to when the ORIGINAL TITLE was issued on the property. Then he has to write an Opinion on the Title which includes his objections, if any. In otherwords, he has to unwind this ball of string back in time to the point where the previous buyer took Title to the property in question - or even earlier - and then he can go forward with a solution that is called a Remedy.

That the bank corrected an error "after the fact" is a seperate and another messy issue that will probably have to be resolved before a Corrected Title can be issued. In the meantime your Title on the contested property is, for all practical purposes, "On Hold". You cannot improve on it, and you cannot sell it - nor should you try to do either - because you do not have a CLEAR Title to it.

Chances are, what will happen in the end, is the contested propery will most likely be re-surveyed and seperated. Then a new Title will be issued for it, plus a new Title will be issued for the other property. All properties will then have a Chear Title and no Cloud. Then you can go forward with the other issues.

You may be able to back out of the deal if the sellers don't want to agree. NONE OF THIS IS YOUR FAULT. You cannot lose Earnest Money. You do not pay for anything except your lawyer fees, and the Fees for the Documents he Files and not one penny more. The cost of everything else should be paid for by those who made the mistakes which would be the Title Company and bank, and perhaps the sellers. I can almost guarantee that someone is going to expect you to pay for all of "it". IT is not your espense.

You "TOOK TITLE IN GOOD FAITH". This statement will "HOLD WATER in every US Court in America. .

Six months after I bought property I received a letter that stated the neighbor claimed my Title Encroached ONE-FOOT over his property line. Two Title Companies, two re-surveys, two re-writes of the TITLE, a final re-draw of the county map by the Title Company, and nine months later --- the Sellers lawyer (not real estate experienced) received a bill for the full cost of the new Title. .

His wife divorced him, he left town and his father-in-law celebrated. His father-in-law is commercial developer who know how to read Titles. He knows the county and he told his son-in-law there was a problem with it. It cost the lawyer thousands of dollars for one bad Opinion.

MYy Attorney is one of the best real estate lawyers in Oklahoma because he prefers real property to courtrooms. Unfortunately in small towns, lawyers starve to death if they only handle real estate issues. I paid him $500 plus $100 for court Filings to get the Cloud removed from my Title. The whole mess was caused by the original Tract owner who purchased 40 acres and wrote his own survey off the wrong Pin. A good real estate lawyer is priceless.

Good luck and keep telling the lawyer and your Mortgage Company that you "took title in good faith."

SmartMoney · 10-19-2010, 07:15 AM

You need a real estate attorney that is a good litigator.....and there lies the oxymoron. My experience has found most real estate attorneys are not good litigators and visa versa. Kind of like finding a good Christian Scientist doctor.

However they do exist (the attorney, maybe not the doctor, lol). Keep looking until you find one. You'll know it when you hit pay-dirt. Keep asking and asking. Suggestions, call a couple of title companies, see if they can tell you any names of attorneys that have argued title cases recently. Call the clerk of the court (better yet, go swing by there in the afternoon mid-week) and see who is representing title claims. They're out there.

SmartMoney · 10-19-2010, 07:20 AM

By any chance was it American Land Title? They're in BofA's hip pocket. They have recently come out and said they are backing any of BofA's "mistakes."

페이지

글 목록

Attorney Lee's related hompages link

프로필

2013년 6월 7일 금요일

이 블로그 검색

이 블로그 검색

태그