Obtaining Title Transfer from incapacitated person

8 Replies

Anyone know how to transfer title when there's dual ownership and one person wants to sell the property? The other person is apparently in a bad mental state in the penitentiary. How do you transfer title when the person is incapacitated? I would have the help of a family member. It would be a quit claim deed for the half of the title apparently. 

Originally posted by @Leland Smith :

Anyone know how to transfer title when there's dual ownership and one person wants to sell the property? The other person is apparently in a bad mental state in the penitentiary. How do you transfer title when the person is incapacitated? I would have the help of a family member. It would be a quit claim deed for the half of the title apparently. 

The goal is to have a Marketable Title. The ONLY way to have a Marketable Title is for a Title Officer at a Title Company tell you what they need on the property to make it a Marketable Title. No one on BP or elsewhere, can tell you the answer. I wish it were simpler, but it isn't. You have to put together a Purchase & Sale Agreement, and a copy of the Will and whatever "proof" you may have, call a Title Company, set up Title and email copies of everything to them. In a few days they will tell you what you need. It could be everything from a court order to sell, or a Quiet Title Action (you need an attorney for this one) to needing an affidavit or two, to "you are good to go "as is" (I wouldn't expect the last option to be the case. Sounds like an interest find tho'.

Account Closed Thanks Mike - I was actually going to reach out to you on this one! It's not my find but a referral. Trying to assess the risk.

Originally posted by @Leland Smith :

@Mike M. Thanks Mike - I was actually going to reach out to you on this one! It's not my find but a referral. Trying to assess the risk.

 Good to hear from you. When someone is incapacitated, it takes a court order to sell. That means probably getting two doctors who agree that the person is incapacitated and getting that for someone who is incarcerated is very difficult I'm sure. However, if the facility has already done the evaluation and the person is considered incapacitated, an heir or relative getting the paperwork from the facility should speed things up. 

Do some research on guardianship... getting a guardian of the property appointed. Being locked up does not raise capacity issues. If the guy doesn't want to sell, he doesn't have to. But like @Account Closed said, if you have a seller who is truly incapable of making decisions for himself, you'll need physicians to certify this in a petition for guardianship plus you'll need a fiduciary appointed to handle those decisions for him... in his best interest. At least that's how it works around here.

The other angle would be a lawsuit for sale in lieu of partition (or whatever it's called where you are). Nobody wants to buy half a house so if the owners did not agree on its disposition one could petition the court to order the property sold and the proceeds divided between the owners.

Account Closed - I actually am not aware of the precise medical condition of the person incarcerated. But I understand they are a drug addict who isn't very aware of things. I understand I have cooperation with the daughter to finalize this transaction as it is ringing up taxes and HOA fee's in her parents names. Not sure if she is able to do something on her own being a family member.

Originally posted by @Leland Smith :

@Mike M. @Tom Gimer - I actually am not aware of the precise medical condition of the person incarcerated. But I understand they are a drug addict who isn't very aware of things. I understand I have cooperation with the daughter to finalize this transaction as it is ringing up taxes and HOA fee's in her parents names. Not sure if she is able to do something on her own being a family member.

 Hmmm, something isn't adding up. If the property is "ringing up taxes and HOA fee's in her parents names" then the property isn't in his name and he can't sell what isn't his. Why not just have the parents, who apparently are the ones on title, sell to you? Did I miss something?

Account Closed Sounds like the daughter is trying to coordinate all this and both parents are drug addicts who have no responsibility to the home. I think the investor I am in contact with is essentially wholesaling half a deed, maybe only as a facilitator. 

Originally posted by @Leland Smith :

@Mike M. Sounds like the daughter is trying to coordinate all this and both parents are drug addicts who have no responsibility to the home. I think the investor I am in contact with is essentially wholesaling half a deed, maybe only as a facilitator. 

 Only the people on Title or the Court Ordered substitute can sell a property. This one is a "time sink". I'd look for opportunities that can actually close, this one won't.