We have been going back and forth with a family on 3 homes in an estate since August of 14. We bought two of the homes and have been working on the third one. Third one is occupied by the sister who has been there for over 2 decades without paying a dime. She is a partial heir to the property and due to the amount of time she has been there she has squatters rights.
The issue: The executor of the estate called me from the closing table refusing to sign because she had 4k in back taxes/county fines. She said she thought our offer included that even though it doesn't. I needed it to close and told her we would pay the taxes under the agreement that they would accept our offer and remove the sister prior to close. She said okay great. ( I didn't get anything in writing).
Just got a call from the attorney working with the estate saying the executor received an offer equal to ours but with them agreeing to remove the "squatter". He basically presented it as a they don't know what to do.
I definitely feel taken advantage of. It would be more the point not the $ value. The attorney is supposed to talk to his clients (the executor) and give me a call later today.
You paid the taxes before the property closed? Next time add that value to be dispensed at close. And get it in writing.
Are you under contract?
We paid the property taxes at the closing table. It was added to our HUD. I have proof that it was added to my side. We are not under contract on the 3rd home. The property has 4 heirs that are all 80+ year old ladies so this thing has moved slower than molasses. On the first two it took a month to get them back. We were waiting on them signed from everyone and haven't gotten them. (who knows if we will)
I feel like I got taken but I didn't have it in writing. She has 2 other homes she wants us to buy and we already bought 2.
There is a reason for having everything in writing....because you can't go to court and tell the judge, "but she said....".
You didn't get taken advantage of...you allowed yourself to be taken by not doing what you and every investor already knows....if it ain't in writing, it doesn't exist.
When things are in writing, you can push back. When they're not, you're simply along for the ride.
And 2 out of 3 ain't bad Ryan.
@Guy Gimenez You are right. Thanks for the tough love. I'll chalk it up to a learning experience and move on.
Free eBook from BiggerPockets!
- Actionable advice for getting started,
- Discover the 10 Most Lucrative Real Estate Niches,
- Learn how to get started with or without money,
- Explore Real-Life Strategies for Building Wealth,
- And a LOT more.
Sign up below to download the eBook for FREE today!
We hate spam just as much as you
You must be a BiggerPockets member to post on the forums
Join the world's largest, most open Real Estate Investing Community online, 100% free forever!