Posted by dealmaker on May 08, 2006 at 18:07:51:
The first two things you need to do are REVIEW your contract, and SEE an attorney to interpret that contract for you. EVERY contract I’ve ever done for RE had a “binding on heirs and assigns” clause in it.
dealmaker
Owner financing - Posted by Tommy
Posted by Tommy on May 08, 2006 at 14:37:06:
I purchased a home 4 years ago (owner financed for 15 years.) The lady I financed with passed away 3 months ago. Her husband called me and advised me that his wife had died and that I should now make the checks out to him each month. The original sales agreement 4 years ago stated that we would remain with the owner financing for 10 years and could remain that way for the entire 15 years or after 10 years we could seek other financing for the remaining 5 years. My question is…where do I stand since this lady has died since her husband is not listed anywhere in the original paperwork? Do I need to have the husband redo the contract with him listed as the seller? or do I need to seek other financing? I need help fast on this one.
Re: Owner financing - Posted by Rainbow
Posted by Rainbow on May 11, 2006 at 12:29:33:
The note now belongs to the Estate of the deceased, unless she sold the note and you were not aware of it (she might have continued to service the account, although unlikely with a private party).
I think that you need to consult an attorney but essentially you need to talk with the Executor of her will if there was one, or however was in charge of her estate.
It is possible this note was never list in the Estate papers.
Bottom line is DO NOT SEND ANY MONEY until you know you are sending it to the right person. You might have to hold the money in an account until you know who/where to send it to.
Re: Owner financing - Posted by The Frisco Kid
Posted by The Frisco Kid on May 09, 2006 at 24:17:36:
Tommy
Dealmaker is right but at this point I would be more concerned about who actually holds the note. You would assume the husband, if he really is the husband, but that is always not the case. I’ve seen too many cases where the husband was not the one to pay, eg a remarriage and heirs are really kids from the first marriage, or a brother or sister of the deceased person. As an example, when one of my aunts died her second husband was trying to sell the house, and pocket the proceeds, which she had willed to her son from her first marriage.