Looking for some advice about clouded titles and how to clear them. I have been researching tax deed sales and was wondering if anyone knew the quickest way to clear a clouded title?
Sorry I have no idea but I'm interested in learning too. I'm guessing it'll depend on the title issue...do you know what the issue is?
I've just been researching them all on which would make sense given the numbers. All of them have liens being a mortgage etc. The ones with no liens or mortgage, I highly doubt will make it to auction. If they do I'll be there with a bunch of other investors. I know there are a couple ways:
Hire an attorney, costly and timely and in end may not be able to clear it
Wait four years, not the investment I'm looking for
I've heard there are shorter methods, that's what I'm looking for advice in if anyone has any experience with that.
A Quiet Title action is the only answer, unless you wait the 4 years. Takes 4-6 months, average $2k. No way around it. To better your chances, verify yourself that the Clerk notified all lien holders, as that's the only way they can redeem during the quiet title process. If they were properly notified, they're out. Florida Tax Deed specific.
@Erin Wysocki , reach out to Steve Dorsett over at Clear Title America in Tampa. We do all of our closings through them and they have helped us quite a bit when title has clouds. They do have attorney's that they use in many instances. Drop my name when you call.
@Doug Smith, thank you for the info! With your experience, is 2K the typical cost for title clearing the title? I've mostly done flipping with REO properties and have no experience with tax deed sales. I will be attending my first auction on July 24th and wanted to get all expenses estimated.
We've used Hometown Title Network in the past and they are currently working on one for us now. It takes about 60-90 days, but they can do a rush for a little bit more $ that will take about 30 - 45 days.
Get a lawyer who knows the in's and outs of tax title deeds.
Go check out the guide at: www.HowToBuyTaxLiensCertificates.com
It has a lot of info about Tax Deeds as well.
That likely is general in nature, and irrelevant to specific issues in FL.
As someone who has done many tax liens and tax deeds in florida, the quickest option to get this done is to go through an attorney. Now if its cost effective, well that depends on your deal. You should always factor that in prior to doing that specific deal.
As for the cost, that can range between $1,500.00-$2,500.00.
There are 3 ways to go about clearing title. I actually blogged about this last month. Check out richardslawfirm.blogspot.com.
You can wait the 4 years which is fine if you are a buy and hold type of investor.
You can use the company tax title services mentioned earlier by Tom Yung. I have had clients give mixed reviews about them. You must then get a title policy through first american. There are positives and negatives to this approach. They are faster and usually cheaper than an attorney (depending on value of the home), but if they are unable to give you a tax title certificate due to a defect in the clerks process you are out your deposit which is around $750.
You can hire an attorney to quiet title. The prices you have been quoted here are pretty accurate for an uncontested quiet title action.
I noticed that you are local. You should consider going to a class by Sandra Edmond "The Queen of Tax Deeds". She is affiliated with CFRI which is an investor club that meets at Edgewater High School the first Wednesday of every month. She actually mentored me through my first Quiet Title when I first started doing them.
You must be a BiggerPockets member to post on the forums
Join the world's largest, most open Real Estate Investing Community online, 100% free forever!