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Bought a property in Upset sale in Montgo PA - Need Advice to make clean title

Posted Sep 30 2023, 04:42

I have recently bought a property that has not been occupied for several years in Montgomery County PA upset sale. There is no other mortgage or other liens that I can see on the property. The municipal liens should be wiped out using the money I paid the county to acquire the property. The owner passed away in 2013, and the property deed is in her name. But she has a daughter who is living in Delaware.  It takes about 90 days to receive my title. There is no redemption right for the previous owner (or heir) in PA except for Philadelphia county. 

Options

1) I have some cash buyers who are ready to acquire the property under the as-is condition

2) Make basic updates to pass U&O, rent it for two years, and refinance it after to take out my investment and profit. 

3) Make an update to get the maximum value from the property (Bought at $126K, as-is value $165K, and updated value $265K)

The challenge that I am facing is to make the title clean faster without waiting two years so that I can take my investment out and put it into the next foreclosures. I have been advised that you can get a quick turnaround by using www.taxtitleservices.com www.ustaxdeedsolutions.com or Meridian Title and they can “certify” the deed. What they do is offer a policy to the underwriter of the title insurance company.


Is this the best route, or should I hire an attorney to get a quiet title? I heard it often takes six months, at least.

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Peter Vekselman
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Peter Vekselman
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Replied Sep 30 2023, 05:11

You should ALWAYS have an attorney representing you in any real estate purchase.  Even when you dont think you need one.  I would hire a local closing attorney to take a look at your transaction and guide you from this point forward.

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Chris Seveney
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Chris Seveney
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Replied Oct 6 2023, 02:43

@Sanil Subhash Chandra Bose

Talk to an attorney on this as PA has some crazy laws.

For example you may also be responsible to pay an estate tax on the property. That’s how crazy some of the laws are

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Alex Deacon
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Alex Deacon
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Replied Oct 6 2023, 04:49

@Sanil Subhash Chandra Bose we have purchased hundreds of tax lien and mortgage lien properties at the Allegheny county sheriffs sale in Pittsburgh. Until you know the process you do need a good RE attorney who knows the process well. All attorneys are not created equal. Clear the title in whatever way needed so you can convey good title to the next buyer. I cant comment on how long that will take but a good RE attorney will expedite the process and you will learn a great deal on this property so the next transaction will be easier. Quiet title can be done in 3 months if its done correctly and efficiently. 

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Chris Seveney
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Chris Seveney
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Replied Dec 16 2023, 13:01
Quote from @Sanil Subhash Chandra Bose:

I have recently bought a property that has not been occupied for several years in Montgomery County PA upset sale. There is no other mortgage or other liens that I can see on the property. The municipal liens should be wiped out using the money I paid the county to acquire the property. The owner passed away in 2013, and the property deed is in her name. But she has a daughter who is living in Delaware.  It takes about 90 days to receive my title. There is no redemption right for the previous owner (or heir) in PA except for Philadelphia county. 

Options

1) I have some cash buyers who are ready to acquire the property under the as-is condition

2) Make basic updates to pass U&O, rent it for two years, and refinance it after to take out my investment and profit. 

3) Make an update to get the maximum value from the property (Bought at $126K, as-is value $165K, and updated value $265K)

The challenge that I am facing is to make the title clean faster without waiting two years so that I can take my investment out and put it into the next foreclosures. I have been advised that you can get a quick turnaround by using www.taxtitleservices.com www.ustaxdeedsolutions.com or Meridian Title and they can “certify” the deed. What they do is offer a policy to the underwriter of the title insurance company.


Is this the best route, or should I hire an attorney to get a quiet title? I heard it often takes six months, at least.


 What ever happened with this?

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Replied Jan 29 2024, 10:18

Does any has any attorney reference in PA?

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Chris K.
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Chris K.
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Replied Jan 29 2024, 17:50

@Sanil Subhash Chandra Bose

I don't know if he is still around but John Maida, Esq. seemed knowledgeable and in the general area. I know he has done a lot of quiet title work. 

I would just say that before you go full scale, get an attorney to order a full title search and do a proper review. I have had many buyers get excited about a "steal" they had a upset sale. The problem is that they searched for liens and judgments but didn't really do a full title search for things like restrictions (e.g. HOA). So, they didn't realize they essentially purchased land that is completely worthless beyond just serving as a green space.

Not saying that is the case here. But it has happened so many times to folks I've met over the years that I raise it as a possibility. 

Disclaimer: While I’m a licensed attorney, I’m not your attorney. What I wrote above does not create an attorney/client relationship between us. I wrote the above for informational purposes. Do not rely on it for legal advice. Always consult with your attorney before you rely on the above information.