How to verify if encroachment is there and what to do about it?

3 Replies

I am in the process of buying first property (Out of State) and was close to closing when I got en email from my lender(Bank of America) saying they could not approve my loan because of driveway encroachment. 

Your driveway encroaches on to the adjoining lot and does not meet policy for an acceptable driveway encroachment. Unfortunately-due to the location of the dwelling, and the detached garage being within 10 feet of the property line of the adjoining property. This causes the driveway to encroach. This would require for you to have exception approval for the Property which the Underwriter could not approve.

First of all, I am not sure if there is actual encroachment at all here. (It says garage is within 10 feet of the property line). I was not able to contact the lender at all after this email at all. So I contacted my agent and mentioned her about this. I got a reply from her saying there is nothing wrong with the title and she doesn't understand why the lender was saying like that. I could always get another lender but I am not sure if this is an actual problem or not. I got the copy of appraisal from the lender and nothing related to driveway encroachment is mentioned there and nothing is mentioned in the property disclosure as well. How do I verify that there is/is not a driveway encroachment? What documents do I need to ask from the agent/seller to make sure there is/is not encroachment? Any help on this would be really welcome. 

Note : The property is in Ohio if that matters

Just updating here for future readers. The title company does property survey as part of their process. You can request a copy of it (I did and there was an encroachment of 0.9 inch). If you want to know in advance you might have to order a property survey as part of the offer or ask for survey from the seller. 

Or simply not use BoA.  They always have BS stuff like this come up at the last minute.  Title insurance policy can easily be written to allow the encroachment. Change lenders.