Quiet Title vs Tax Title Services

6 Replies

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?

Thanks!

George

Instead of these I pick option C.

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. 

This is much cheaper and much quicker.

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? 

@Roman M. thanks! This is what I thought as well. (Minus the 2 years part). Guess I'll go with the QT.

Originally posted by @George Harris :

@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.

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