Peculiar Landlocked Fix and Flip HELP
Hello All! I need some input on this situation. A bank owned property (house and 4.5 acres) is up for sale, but it is technically landlocked by a .12 acre strip of land. The property was previously part of a much larger tract. When the property was conveyed to the previous owner approximately 15 years ago, the 4.5 acre tract was surveyed out, but a small strip in between the property and public road was not included. No one knows why it was done that way or how the buyers got the loan. As far as I know there is no easement or right of way.
The landowners of the .12 acre strip want the bank owned property, but are running into issues. I am sure they would not sell this strip of land to another person interested in the property. I did find out the neighbor to the left is willing to consider selling some land to connect to the driveway, but he wants the buyer potential to research the setbacks and utility issues before making an offer. Electrical, cable, phone, etc are buried underground between the 2 properties.
The potential is high for this property, but is the situation too sticky? I have never been involved in a landlocked property. Do I need to approach the local City for any info that may help or does the resolution revolve around negotiations with private parties, such as the neighbor? Any help would be appreciated!