Frankfurt Am Main, Hessen · Member since 2016 · 13 posts · 1 vote
Hello all,
Does anyone have any experience in (or knowledge) of the difference between a quiet title action and using Tax Title Services (or a similar service)?
From what I can tell, Tax Title Services is partnered with a few law firms/title search companies across the nation and basically "vouches" for all of the paperwork of your property (which you acquired via a tax sale/lien) being good to go. From there, the title company (the one partnered up with Tax Title Services will issue you title insurance).
Is quiet title basically the same thing (except done via a legal process), but would allow you to get title insurance from all title companies (minus the speed from the above method?
It was not hard at all. Some I have sent a letter to after finding their new address from a recent speeding ticket, another I found them via Facebook. All I offered them $200 for their time to sign QCD and got it notarized at a bank. Recently I tracked down a guy and got him to sign it over before he lost it. Then I paid the taxes and got the 10k back that I had paid for the tax lien.
I have never done a Quiet Title. I have cleared them myself or sold a few to another investor for cash with a QCD. Most I keep and rent for forever with just my Tax deed. No need to clear these if I just want to keep them for passive income.
I track down previous owner/s and get them to sign a Quit Claim deed. If there was a mortgage I ask for a mortgage release. Then I can get title Insurance.
Done both. Timing is similar 60 to 90 days. Cost to me was almost the same (Plus minus $200).
Biggest problem I saw with tax title service is that TD seller has to choose the title co that works with tax title services and the buyer will have to use them for the next 2 years if propery was to be resold down the road. So whoever chooses title co has to pay title closing costs so it increases the selling costs.
@John Underwood how hard was it to get the previous owners to agree to a QCD? Another side question, could you do this before the redemption period is up (assuming there is one for where you did/are doing business in) instead of waiting that year (or however much time) before you could legally take ownership of the property?
@John Underwood how hard was it to get the previous owners to agree to a QCD? Another side question, could you do this before the redemption period is up (assuming there is one for where you did/are doing business in) instead of waiting that year (or however much time) before you could legally take ownership of the property?
It was not hard at all. Some I have sent a letter to after finding their new address from a recent speeding ticket, another I found them via Facebook. All I offered them $200 for their time to sign QCD and got it notarized at a bank. Recently I tracked down a guy and got him to sign it over before he lost it. Then I paid the taxes and got the 10k back that I had paid for the tax lien.
I have never done a Quiet Title. I have cleared them myself or sold a few to another investor for cash with a QCD. Most I keep and rent for forever with just my Tax deed. No need to clear these if I just want to keep them for passive income.
It was not hard at all. Some I have sent a letter to after finding their new address from a recent speeding ticket, another I found them via Facebook. All I offered them $200 for their time to sign QCD and got it notarized at a bank. Recently I tracked down a guy and got him to sign it over before he lost it. Then I paid the taxes and got the 10k back that I had paid for the tax lien.
I have never done a Quiet Title. I have cleared them myself or sold a few to another investor for cash with a QCD. Most I keep and rent for forever with just my Tax deed. No need to clear these if I just want to keep them for passive income.
That makes sense, but in my case, I would eventually like to use the equity in the properties to purchase more of them. From my research, the only way that can happen is if I can get title insurance, which means either a quiet title, or using something such as Tax Title Services.
It was not hard at all. Some I have sent a letter to after finding their new address from a recent speeding ticket, another I found them via Facebook. All I offered them $200 for their time to sign QCD and got it notarized at a bank. Recently I tracked down a guy and got him to sign it over before he lost it. Then I paid the taxes and got the 10k back that I had paid for the tax lien.
I have never done a Quiet Title. I have cleared them myself or sold a few to another investor for cash with a QCD. Most I keep and rent for forever with just my Tax deed. No need to clear these if I just want to keep them for passive income.
That makes sense, but in my case, I would eventually like to use the equity in the properties to purchase more of them. From my research, the only way that can happen is if I can get title insurance, which means either a quiet title, or using something such as Tax Title Services.
I have got real title insurance not what Tax Title insurance provides. I have done this without a Quiet Title. I have removed the cloud from the title by tracking down all previous owners and getting them to sign a Quit Claim Deed and a mortgage release when applicable. Then I have gotten normal title insurance and sold with a general warranty deed. This cost me $400 instead of $4000.
It was not hard at all. Some I have sent a letter to after finding their new address from a recent speeding ticket, another I found them via Facebook. All I offered them $200 for their time to sign QCD and got it notarized at a bank. Recently I tracked down a guy and got him to sign it over before he lost it. Then I paid the taxes and got the 10k back that I had paid for the tax lien.
I have never done a Quiet Title. I have cleared them myself or sold a few to another investor for cash with a QCD. Most I keep and rent for forever with just my Tax deed. No need to clear these if I just want to keep them for passive income.
That makes sense, but in my case, I would eventually like to use the equity in the properties to purchase more of them. From my research, the only way that can happen is if I can get title insurance, which means either a quiet title, or using something such as Tax Title Services.
I have got real title insurance not what Tax Title insurance provides. I have done this without a Quiet Title. I have removed the cloud from the title by tracking down all previous owners and getting them to sign a Quit Claim Deed and a mortgage release when applicable. Then I have gotten normal title insurance and sold with a general warranty deed. This cost me $400 instead of $4000.
Thanks John. How would it work if the property had some sort of lien on it? Mortgage release instead of QCD?
@John Underwood Thanks! I will try this out with one of my properties and see how it goes. Any advice you can give regarding tracking down/approaching the parties? I have the title searches already of course, if that helps.
@John Underwood Thanks! I will try this out with one of my properties and see how it goes. Any advice you can give regarding tracking down/approaching the parties? I have the title searches already of course, if that helps.
@John Underwood what happens if you can't track the person (e.g., deceased) down?
You could get an attorney to do an heir determination and then once you find who would legally inherit property get them to sign it over or get them to open probate.
What if the previous owners refuse to sign a quit claim deed even after being offered $500-$1000? I’m dealing with this now and the previous owner says he just wants to be done with the property and “emotionally can’t bring himself to sign a quit claim”
What if the previous owners refuse to sign a quit claim deed even after being offered $500-$1000? I’m dealing with this now and the previous owner says he just wants to be done with the property and “emotionally can’t bring himself to sign a quit claim”
Tell them if they sign the QC deed they can be done, otherwise you will have to do a Quiet Title and they will be named as a defendant in the law suit. They will get served with notices and get numerous legal documents sent to them. Their name will likely be in the paper in the legal section and this may go on for over a year.
@John Underwood that’s exactly what I told him...QCD is the quickest way to be done AND I’ll pay you. Logic is out the window apparently. I’ll try back in a couple days and reiterate what the quiet title action process would be like for him.
FYI, Tax Title Services is definitely associated with many title companies. A Quiet title process is a legal process you can hire an attorney to do that, my recommendation is you find someone who has accomplished the process many times. Most attorney's have not performed the service and will refer you.
I have done this for 25 years and you need to do your homework before you order your quiet title.
Hi John Underwood: Ref. QT and convincing a prior owner or heir to sign a QCD, does the previous owner or heir have to appear in court if they want to fight it? When they are served with papers on QT, does that just ask questions to establish any claim, what hassles can be expected on there part?
Mortgage release in addition to the QCD from previous owners.
I have done all this several times and it remove the clouds from the title.
wow john you changed my life!! so you get a release for any lien/mortgages found in title search?
And aren’t the one’s that are supposed to release the mortgage are the mortgage? How the owner has the right to release a mortgage? Doesn’t make sense
Sorry, only the mortgage holder can release the mortgage. They will generally do it just for asking on a dormant mortgage they have already written off.
I'm here learning and have questions myself. I really think i made a huge mistake, here is the my scenario:
Hi everyone,
I'm a newbie here in the community. I've made my first purchase from the Jefferson County of Alabama. I thought that purchasing the tax lien and receiving the Deed would automatically give me the title and clear me from any financial obligations. The owners passed away in the state on Tennessee. The tax accessor website doesn't list any other person who paid previous taxes besides her husband whom is also deceased. Do I have to pay more money to get the title after I receive the deed. Do anyone know of a free system I can use to search the title if that is what I am to do to search for liens. Or will the deed wipe out any liens or violations. What are my next steps after receiving deed from Jefferson County Alabama? I need help asap as I think I have waisted money purchasing a deed when I can't get the title. Also can I clean the yard and inside of the house with only the deed. Can i be sued if there are any heirs to the home. How do I find out if there are any heirs? Will that be listed on the tax accessor website to find unpaid property taxes?
Thanks so much for you help as I just as confused and scared at the same time!
@Erica Brown, all of the answers to your questions depend on the details of the particular property and particular background circumstance. You have probably not wasted your money, but you must do exactly the right things in the right order to be protected.