Skip to content
Buying & Selling Real Estate

User Stats

807
Posts
473
Votes
Nat C.
  • Investor
  • Miami, FL
473
Votes |
807
Posts

Recorded lien AFTER closing

Nat C.
  • Investor
  • Miami, FL
Posted Aug 6 2020, 06:54

I purchased a property in Miami Dade a few years back. A year after owning it, a new tenant moved in and when she tried to turn the water service on, she was told there was a lien for unpaid water. The water company wanted $3000 before they would turn the water on. I paid it immediately so that the tenant could have water but then it took month of emails and phone calls to get to the bottom of the issue.

It turned out that prior to me purchasing the property, there had been some illegal tampering and excessive water usage. This occurred when the previous owner held title. I do not know why the actual lien was not recorded until years later but that’s what has happened.

I do have a document in writing outlining the dates of the unpaid water usage and tampering and also naming the prior owner as the one responsible. I do know that this isn’t covered by the title policy as only recorded liens are covered.

I guess my only option then is to lodge a small claims action a against the prior owner. However she had the property within an LLC and she dissolved that LLC after she sold the property. I am therefore concerned about the ability to carry out a claim and collect. It was a single member LLC, so assumably a disregarded entity.

Can anyone advise the best course of action?

Loading replies...