Ask Me Help Desk - Is a quiet title of a tax deed an attorney sham?

Here in the state of Florida, the Florida Statutes (197.552-573) clearly states that liens and previous interests (unless exempted) DO NOT SURVIVE the issuance of a tax deed.

Municipal and other gov liens (IRS, STD's, etc) do survive. Mortgages, interests, etc. DO NOT.

But if a property owner and lender let a property go for the taxes, why the heck should somebody have to go hire an attorney to quiet the title when their interest does not survive.

This sounds like lawmakers/attorney's run amok 101.

I have bought 100's of tax properties and I have never used a quiet title court filing since as noted the tax sale clears almost all posible situations.

If you have any doubt, have a title company rule a complete title search for any problems, if something such as a sale in a community property state, where the spouse did not sign their wavier or something, it may be worth it. ( I don't, since I always sell my properties, on a limited warranty deed or a quitclaim deed)

But attorneys are in business, this is like walmart having a sale, or your char dealership offering a special, they have to try to get people to buy their services, that is how they make money.

If you are going to put a lot of money onto the property, and if you are going to sell it on a full warranty deed, it does not hurt, But if you are doing a quick turn over of the property for profit, there is little need.

How do you sell tax deed properties? I've bought some, but people act like the properties have the cooties, when you tell them. I try to be up front and honest.

I could sell on a quit claim, but I would still feel obligated to state before the fact that they won't be able to get title insurance for four years.

It just seems wrong. The Florida Statutes, state that those items do not survive the sale, but I called TWO title companies in my town and they EACH stated that those mortgages DO survive the sale.

There is just so much false info out there. I feel sleezy quoting the Florida Statutes then having attornies and abstract companies contradict me.

First I don't tell them if they don't ask, and I sell most on contract for deeds to people who can't afford anything else.

The issue with mortages, is that if there is one on the property, the mortgage company always pays the tax and forecloses, I have not seen one with a real mortgage on it ever get to a tax sale.

Quote:

Originally Posted by Fr_Chuck

I have bought 100's of tax properties and I have never used a quiet title court filing since as noted the tax sale clears almost all posible situations.

If you have any doubt, have a title company rule a complete title search for any problems, if something such as a sale in a community property state, where the spouse did not sign thier wavier or something, it may be worth it. ( I don't, since I always sell my properties, on a limited warranty deed or a quitclaim deed)

But attorneys are in business, this is like walmart having a sale, or your char dealership offering a special, they have to try to get people to buy thier services, that is how they make money.

If you are going to put alot of money onto the property, and if you are going to sell it on a full warranty deed, it does not hurt, But if you are doing a quick turn over of the property for profit, there is little need.

Hello Fr_Chuck,

My name is Jon and I am a new member here and I was wondering if I could ask you a few questions about tax sold properties? I guess the main question I have is what can I do with the property I just bought last year? I tried contacting the owner several times with no luck and then I was contacted by an attorney telling me that I have a tax deed and nothing more and that I have no rights on that property and then the attorney went on to tell me to watch my step because he doesn't want to see me in trouble... What do I own? I really want to rent the property out or sell it I am really not sure at this point but hearing all this I am really confussed. If you can shed any light on this I would be very grateful, Thank you very much.

Yours truly,
Jon of Pennsylvania

I think I would have someone clear the title no matter what. This can save a lot of headaches. I was under the impression that when a property is sold at tax sale the current owner has one year to redeem it and claim it back. I could be wrong. But I have always to been taught to get a full warranty deed as a opposed to any other deed when purchasing because it offers the most protection on the title.

Quote:

Originally Posted by DianeV Sr Loan Officer

I think I would have someone clear the title no matter what. This can save a lot of headaches. I was under the impression that when a property is sold at tax sale the current owner has one year to redeem it and claim it back. I could be wrong. But I have always to been taught to get a full warranty deed as a opposed to any other deed when purchasing because it offers the most protection on the title.

Well, it varies from state to state. But here in Florida, the statutes clearly state that they can only ATTEMPT to reclaim the property IF the county screws up the notice/advertising.

That's it.

And the county has very little responsibility to chase these folks down. As in notice is sent to the last known address. So its hard to screw up.