All Forum Posts by: Davido Davido

@James Johnson in regard to paying taxes, you should first know who really owns the property, but as a tenant, most courts will recognize your right to pay past due property taxes in order to preserve your tenancy.  You can then file suit against the owner of record to be reimbursed for the taxes you've paid.  Since, in this case the owner is not likely to respond, just hire a decent para-legal to prepare the documents and file them yourself.  If you file properly, including proof of service or notice by publication, you would get a judgement in your favor that can then be turned into a judicial lien on the property.  You would get repaid for the taxes + interest (12% here) , no matter who ends up with the property..

@James Johnson in my State, WA, the phrase "Color of Title" is a term of art (has specialized meaning).  It refers to a written document that purports to convey good title but that for some reason that is not apparent from reading the title document (deed) does not convey legal title (or does not convey full title).

You do not have color of title.  However, in most states color of title is not necessary to complete adverse possession.  Indiana has passed a new law requiring color of title to perfect an adverse possession, but even in Indiana, the courts have construed the law to permit adverse possession without a written document purporting to grant title.

Many states require a "Claim of Right" -which can just be that you've been in exclusive possession for the period required to claim adverse possession.

@James Johnson Please update this post and your profile to inform readers what state you and the property are in.  It makes a difference.  You have a fascinating situation.  I've worked similar situations since 2003 as a hobby.  You may find it of interest to check out my blog https://www.biggerpockets.com/member-blogs/12388-abandoned-property-adventure-on-wildside .   I like @Theresa Harris 's advice,  "Simply contact him and tell him that you and your wife really like the house and were wondering if he'd ever thought about selling it. Leave it at that."  

Only I would not leave it at that.  If the person you are paying rent to says he'll sell it to you then go on to discuss his ownership entity until you are satisfied that you understand it.  If he says he is not inclined to sell it, or not yet, or if he declines to discuss his form of ownership, then tell him directly that you're aware his name is not on the title and that he has not been paying the taxes and that you have legitimate concerns about how those facts will affect your tenancy.   

It may be that this guy is aware of the other properties and is attempting to rent them all out.  I would ask him directly about his alleged ownership until you are satisfied that you understand it, and definitely ask him when he plans to pay the past due property taxes as well.

However, even if the person you are paying rent to is not the legal owner, he still is in control of the property.  If anyone is entitled to eventual adverse possession of the property, it will be him.  So long as you pay rent, your only rights to the property flow through the landlord.  So long as you are paying rent, the landlord gets credited for your possession.  That is a well established legal principle -not likely to be different in any state.  So if you have the idea of eventually obtaining the property through adverse possession, you will need to stop paying rent.   If the landlord, won't give you clear evidence of his ownership, tell him now that you can not pay any further rent to him, until the ownership issue gets sorted out.  

If he is not the owner, and he knows what he is doing, he can evict you.  I think an eviction attempt from a scammer is highly unlikely, and easily resisted for a lengthy time.  Please consider posting your rental agreement to this thread -after redacting personally identifying information.  Let us know how it goes.

@Maura O'Connor  In regards to using the Wi-Fi in your tenant’s rental unit, why not set up and control the property Wi-Fi yourself?  

Controlling the Wi-Fi in your rentals provides many advantages to a landlord. It does take time and effort to set up your own Wi-Fi Single Family or Multi-Family Wi-Fi system, but if properly set up, the system can thereafter save a landlord time and effort in multiple ways. A landlord-controlled Wi-Fi system can also become another source of revenue for the landlord by adding a small ser-charge to the landlord's actual costs (Especially useful in Multi-family buildings or rent by room housing).

It is also possible that Landlord controlled Wi-Fi can saving money for tenants. A knowledgeable landlord can often find and/or negotiate a better month to month price for unlimited broadband internet service, while saving each new tenant the cost, hassle and interim downtime of acquiring new service.

The advantages of controlling your own Wi-Fi, in addition to monitoring smoking, are the ability to control and record property access via Wi-Fi controlled and Wi-Fi programmable entry locks and gate and driveways monitors. Control of the property Wi-Fi also permits recording security cameras outside the building (and inside common halls, storage areas etc.). You can set the timing of outside yard, perimeter and building lights. Control of your Wi-Fi enables the landlord to create a direct audio and/or video intercom from your cell phone to any location on the property (similar to or with a ring doorbell). You can receive automatic notice when an unusual number of people are on the property (https://www.partysquasher.com ). You can know and record when, for how long, and how much energy is used by the house heating system. You can automatically warn you tenants when their cooking is to smoky and when CO2 levels are rising. You know, receive notice, and automatically record every time a house smoke or CO2 alarm goes off. (https://nest.com/ )

You can also set up a network attached storage device to create tenant accessible files for your property manual, appliance manuals, how to manuals (for septic systems, wood stoves, property photos, tenant lease documents contact numbers, neighbor information, shopping info, utility info etc.) -files that you can update, change, add or delete from anywhere; and you can monitor in real time the power consumption of the entire property $50 to $350 plus install costs (https://www.postscapes.com/Wi-Fi-home-energy-monitor-neurio/ ) ( https://www.bluelineinnovations.com/ ). One whole house energy monitor can identify, record and report in real time the energy consumption of pretty much any electrical device on the property $300 +installation (https://sense.com/ ) ( https://www.schneider-electric.us/en/home/smart-home/wiser/wiser-app/ ). For example with the Sense energy monitor, a landlord can tell when, if ever, and for how long, a vacuum or carpet cleaner is used, when a garbage disposal, water heater, well or septic pump runs. When the home is occupied or when it is vacant. When, if ever, almost any electrical device is used (It does take some training/set up of the software app.

Alternatively, it is possible to separately monitor and accurately record in real time each individual circuits on the Property $1400 ( https://shop.dentinstruments.com/products/powerscout-12-multi-circuit-power-submeter?src=sidebar ), and or to monitor the electrical consumption of any individual appliance, outlet or switch $20+ (https://www.topgreener.com/ ).

It is also possible to use Wi-Fi to automatically and remotely turn your rental property water on/off, to monitor your properties for leaks, frozen pipes, to submeter and record water and or gas usage and know if there is a leak even before your tenants know $70 to $300 ( https://www.phyn.com/
https://getpani.com/
https://www.honeywellhome.com/en/products/water-alarms
https://try.flumetech.com/smart-home-water-monitor/
https://www.kickstarter.com/projects/azapps/osiris-the-65-smart-water-monitor
https://meetflo.com/
https://www.flumetech.com/

Wi-Fi Gas Meters, https://waviot.com/iot/solutions/smart-metering/smart-gas-metering
https://www.ekmmetering.com/collections/gas-meters
https://www.flonidan.com/products-and-solutions/smart-gas-meters

In my view, there are a lot of advantages to Landlord controlling and sub billing the Wi-Fi system in his/her rental units. Knowing when someone is smoking on the property is just one.

@Joe Splitrock, "When one person doesn't pay taxes, it just means the rest of pay more."  Certainly this is the common belief.  However it is only partly true and provides no justification for forcing any person to pay a tax.

As to whether the rest of us pay more when someone doesn't pay, -that is how finances would work for you or me.  The effect of cash shortages on our government is different.  When government has a cash shortage, the government prints, borrows, and otherwise expands its balance sheet.  Most of the dollars borrowed will never be paid, and it is mostly foreigners who will lose.  

In the US, revenue shortfalls are handled primarily by creating more money.  Government monetary creation to replace unpaid taxes does slowly devalue everyone else's dollars. As you noted, this is a cost to "the rest of us", -except that the cost to the rest of us from someone not paying income tax is typically only 14% of the taxpayers income tax evasion.  US citizens bear a small percentage of the cost of taxes evaded because most government expenditures are financed from sources other than income tax (62% of 2018 expenditures [52% of the budget] came from sources other than the income tax) and because the most the devaluation costs of creating additional dollars to cover unpaid income taxes are borne by foreigners (63% of US dollars are held by foreigners, only 37% held by US citizens in 2014).  https://fas.org/sgp/crs/misc/RS22331.pdf 

 Income taxes comprise only 48% of the US revenues. https://www.taxpolicycenter.org/briefing-book/what-are-sources-revenue-federal-government . Income tax revenue comprises only 38% of actual US Government expenditures. (1.68 trillion income tax revenue divided by 4.4 trillion outlays [2018] =38%).  Since, only 38% of government expenses are funded by income taxes and since, US citizens bear only 37% of the loss in value from newly printed dollars used to cover US revenue shortfall, only 14% of revenue shortfall is borne by US income taxpayers. (38% of US expenditures paid from income taxes x 37% of loss in the value of the dollar borne by US taxpayers = 14% of US revenue shortfall from failure to pay income tax is borne by US citizens.)

The great advantage of the dollar being the world's reserve currency, is that it is mostly foreigners, not us, who bear the cost of constantly devaluing the US dollar. https://comparegoldandsilverprices.com/news/economics-101/dollar-devaluation-since-1913/

Moreover, many authors have noted that the US does not need the income tax to fund the government at all.

https://www.forbes.com/sites/briandomitrovic/2013/04/02/to-fund-the-federal-government-we-dont-need-federal-taxation/#573211bd51f3

Indeed, for well over a hundred years the U.S. government ran just fine without an income tax.  Financially speaking, the nation ran better without an income tax than it has since the income tax was imposed in 1913.   

@Cody L. Even if the cost of not paying is great -no one should be forced to pay income tax - Law is force. "The State is a dead hand that imposes itself on society, mainly benefiting those who control it, and their cronies. ... [The idea that,] We need libraries of regulations, and 'I’m happy to pay my taxes.' 'It’s the price we pay for civilization.' -No, that’s just the opposite of the fact. Those things are signs that civilization is degrading, that the members of society are becoming less individually responsible. And therefore that the country has to be held together by force. ... 

"It’s all about control. Power corrupts, and absolute power corrupts absolutely. The type of people that gravitate to government like to control other people. Contrary to what we’re told to think, that’s why the worst people – not the best – want to get into government."  quoted from Larken Rose "Message to the Voting Cattle" emphasis added.

If your current windows are aluminum framed and/or single pane, then replacing with energy efficient windows can sometimes be cost effective (pay for themselves in energy savings in less than 7 years = 10 % ROI).

@Thuy Pham-Satrappe,  Have you reviewed the legal description in your deed to determine the boundaries of your property?  And have you reviewed your title to see if there is an easement granting use of the driveway?Find out if your title says you own the driveway or if there is an easement.  Then tell us when your neighbor "basically taken claim to the entire driveway"?

If the driveway is on your property, then before any claim by her that she has adversely possessed the driveway will be upheld,Indiana law requires her (and her predecessors) to use of the driveway in a manner that continuously excludes you and your predecessors (if any) and in a manner that is considered 'hostile' to your title for 10 uninterrupted years, and she must have also either paid the property taxes for the area of the driveway, or reasonably believed she paid the property taxes.    Ind. Code 32-21-7-1, and 34-11-2-11.  See this article by Indiana Attorney, Patrick Murphy, discussing recent Indiana cases of Adverse Possession.

If the driveway is on your land, and she has no easement, then it could be possible that your neighbor developed a prescriptive easement right to use the driveway by her and her predecessors using it along with you and your predecessors for 20 years.

 Alternatively, if the driveway is on the neighbors property then you may seek a "prescriptive" easement against your neighbor if you and your predecessors have used their driveway for 20 years. Ind. Code 32-23-1-1   See also https://waynecountyswcd.org/wp-content/uploads/2016/08/Legal-Considerations-for-Right-of-Way-Easements-brochure.pdf



https://waynecountyswcd.org/wp-content/uploads/2016/08/Legal-Considerations-for-Right-of-Way-Easements-brochure.pdf

@William M., "My fear is that there are liens against the property(claims) and we won't be able to get clear title. Can the property even be assigned since it's in open probate?"

Two other options; 1.) Buy one or more of the liens at a steep discount and foreclose the lien so that the property is forced to foreclosure auction.  Then you'll either be the winning bidder or get paid in full for your lien and foreclosure costs, or get a quit claim deed from the sole heir and finish the probate.  

I would, check the age of the liens against your state's statute of limitations.   Usually the statute of limitations on a lien is 10 years, less in some states.  (Be aware that liens can be renewed. It seldom happens though.)  When you know how much longer the lien is enforceable (when the statute of limitations has past), you may no longer need to worry about it, or you may have leverage to buy it at a steep discount (5% or 10%).

"This kind of has the feel of needing an investor to come in and do something to move this thing"

Agreed.  The situation you're describing is sad for the relatives, but if they won't work it out, there is no reason why their loss, shouldn't be your gain.  Congratulations to you.  Oher BP investors are sure to add their advice before your done.   Sounds as though the deceased's widow is not living in this house?  Do you know what kind of debt and liens are on the property?

I recommend carrying the numbers for mobile notaries that know you can rely on for spur of the moment notary services and carrying a couple of prepared quit claim deeds, one each filled out with the widow and the brother.  That way, when either or both of them indicate they want to be done with this 'problem', you'll be ready to get their signatures without delay.

@Jason Rogers  Thanks for the reply and the correction about Jackson being in MI not MS.  Please do share with those of us who read what this thread, what the title companies say about the effect of getting a quit claim deed from the relatives.   Is the widow on the title now?   That would certainly help.