Currently i have a offer accepted on a foreclosed property but the bank is saying there is a Lis Pendens on the property. Ive never heard of a Lis Pendens before but i know that the title will not be cleared if its still there by closing time. Has anyone dealt with a property like this or know of what i should expect like time frame and if worth going thru the process?
An LP is simply a notification to the world that a law suit of some type is pending. The LP is easy to find, on the Dade clerk of court, official search, site. See exactly what the LP is for, and what it would take to resolve. Surely, it’s not just the LP that was filed when the bank initiated foreclosure? It’s also odd....”the bank says it has an LP on it”.
If there's sufficient equity in the home to pay off the mortgage then you can purchase the property with a regular closing without any tittle encumbrances. If the property is underwater then this is a short sale. Your realtor should clarify this for you.
You need to find out what the LP is for. If its just the foreclosure it will be dealt with through you buying the house. But it could be for a construction lien, or a title claim.