Posted by Bud Branstetter on May 05, 1999 at 11:23:51:
The memorandum will only cloud the title such that a buyer could not get title insurance. The performance mortgage can be used to foreclose if necessary to get clear title.
L/O and clear title - Posted by QuestionMan
Posted by QuestionMan on May 05, 1999 at 24:31:50:
How can I be sure that at the end of my l/o, that the seller
will not have any clouds in the title and liens against the property I wish to purchase? Thank in advance.
Re: L/O and clear title - Posted by JohnBoy
Posted by JohnBoy on May 05, 1999 at 24:46:41:
You run a title search before you take the property. Then you record a performance mortgage against the property to protect your interest. Also make sure that if the property has a current mortgage on it, that either YOU or a THIRD PARTY sends your portion of the rent payment to the bank every month to insure those payments are being made. DO NOT trust the seller to make them.
Re: L/O and clear title - Posted by Kevin(OK)
Posted by Kevin(OK) on May 05, 1999 at 09:21:04:
Will the recording of a performance mortgage trigger the due on sale clause? Will a memorandum of option protect you in the same way?
Thanks!
Kevin(OK)