Good afternoon everyone,
I am new to the real estate game. I am so happy that I discovered the bigger pockets community. I have found a lot of useful information that has helped me to better understand the real estate industry. I still have a lot to learn, but I am excited. I am looking to acquire an abandoned property as my first investment. The previous owner had no mortgage and passed away over 3 years ago. He was my grandfathers neighbor for many years. He had no immediate family, and no will. I've looked on the local tax assessors website, and from what I can tell the property is owned by a holding company in Nebraska. I was wondering if anyone had any previous experience with this? I am assuming the holding company just purchased the tax lien. Any advice is greatly appreciated. Also, I am located in Lafayette, LA.
If you have the address of the Holding Company, contact them and see what they say. Keep us updated.
It list the holding company and the original owners name (estate) listed along side it. What does this mean?
I appreciate your hustle. But I agree with Judy. Google the holding company and get their contact information. Give them a call/e-mail/letter. Also call the local county office to see if they can help. If it is a small town and they see that you are just starting out and a good guy, they should be happy to help you.
To answer your question, based on what you said the Holding Company AND the estate of the dead guy owns the property. So just ask these good questions to the right people.
I'm very familiar with the "holding company from Nebraska." It's a huge tax lien investing outfit. They will ask you to sign a document to accept their definition of "merchantable title." Nevermind the legal definition that already exists - it is legal for you to voluntarily accept their definition. Their definition of merchantable title says that you accept that when you buy it, the one title company (that was just created a couple of years ago), will write a title policy on the property. That doesn't mean that any other title company will ever give you a clear title to the property.
If you are buying with cash, nothing will stop you from buying the property. However, if you want to buy with financing, the lender will require a lender's title policy and that might be a problem. Also, if you want to refinance or sell the property, you might have a problem.
I don't have any kind of affiliate relationship with them, but I recommend that you close this deal through Bradley Moreau Title (or another reputable title company) to be certain that you have a good clear title to the property before you buy it.
Thanks for the information. Being new to real estate, the terminology is probably what scares me the most. I was hoping this would be my first attempt at the brrrr method. That being said, I surely do not want to run into any title issues.
How does purchasing the property from these Lien investment companies usually work? Do they own the property out right? Also, does Louisiana have a grace period for any heirs to try and regain ownership of the property that was bought via this method? I’m trying do as much research as I can on this topic, but it seems like tax lien properties are a long drawn out process, especially for someone who is new to real estate.
Property owned by "holding company from Nebraska." will require you to make an offer to them for the property. They will want the offer to be at least double the amount they have already paid in taxes and liens.
If they bought the property at Sheriff's tax sale more than 3 years ago then yes they own the house as a matured Tax Deed. If there are no heirs then their title is uncontestable in court.
You could elect to pay off the back taxes owned if the property is less than 3 years behind on tax dues. However, you would not have a way to claim the home yourself with a deed.
Did you know that Sheriff's tax titles & deeds that are issued for non-payment of taxes are one of the best ways to reclaim abandoned properties? Without this legal process numerous homes and properties would remain abandoned forever with no clear way for someone to claim possession if the former owner has no heirs.
Did you ever follow up with the holding company from Nebraska ?
If so, what were the results ?
Hey man, what’s the address? I can help you do some digging on the property. I might even know the holding company and can get you in contact with them directly. Also I can show you how to go through the online deeds to see exactly how the property what handled.
Seriously, let me know if I can help.
Here is the formal clearing house for the Nebraska property company, please note that buying tax titles in Louisiana adds additional title insurance costs for you and any future buyer. Full disclosure about the source of your deed to future buyers is essential.
My dealing with this company have shown that they ask higher prices than what they have invested so far.
TAX TITLES FOR SALE:
PROPERTIES FOR SALE: