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Title Issue on Tax Foreclosure Discovered During Refinance
Hi all. I purchased a house at a County Tax Foreclosure auction in 2019, fixed it out, now a rental. Attempting to refinance, the title search company found an issue: they don't feel that the County I purchased the property from adequately informed the previous owners, who had abandoned the house, what was going on. They say I can either do a a) Quiet title action or b) Get the prior owner to sign on the line that is dotted. I'm worried that they'll sue to get the house back.
Does anyone have any experience with this or suggestions for a way forward?
@Scott Bremer, I believe this is a common issue. I think it would be uncommon for someone to try to get their house back. So, if the previous owners are easy to find its worth a try, even if you have to pay them a few bucks to get them to show up and sign.
I have gone the quiet title route and it isn't overly expensive but it does take a few to several months to complete. Get a quote from your real estate attorney. They will probably quote you their fee and then there will be the actual costs such as court costs and costs to advertise the quiet title etc.
@Kevin Sobilo Thank you for your reassurance.