Posted by Andy - MI on March 06, 2000 at 21:03:27:
Can I be number 3 next year? HAHAHA. When is it, folks?
Andy
Simultaneous close… - Posted by Steve Wa.
Posted by Steve Wa. on March 06, 2000 at 02:38:19:
Hi,
This might be a silly question but here it goes. If Im doing a simultaneous close and I have judgments or liens against me. Is there anyway that they (creditors) can find out and if so can they do anything, or is it a what they dont know wont hurt me type thing? I know that I must take possesion of the property and then sell to my investor, I just dont want anything to stop the deal once its that far into play. Thanks ahead of time for your responces…
Regards
Steve
Re: Simultaneous close… - Posted by phil fernandez
Posted by phil fernandez on March 06, 2000 at 12:09:36:
I agree with Mike and Bud. The judgements and liens that you have against you will attach to the property. This happened to me, when I sold a mobile to a guy that had state tax liens unbeknowest to me.
We got about 10 payments and then he stopped paying. We got the mobile back in lieu of foreclosure but the liens were now attached to the home.
Reality Check - Posted by Michael Morrongiello
Posted by Michael Morrongiello on March 06, 2000 at 11:58:19:
Steve:
If you have existing tax liens or judgements that are oustanding against you and they have been certiified of record where the subject property you want to take title to and then resell is located, then those liens or judgements will attached to the real property clouding the title the moment a deed is handed to you (which constitutes a conveyance of title). The deed to you does not even have to be recorded and the judgements will attache.
As suggested one stratergy to avoid this from happening is to contrat to buy and take title to the property in a “nominee entity” like a corporation, trust, LLC, etc. thereby avoiding the attachment of any liens against you when title is taken.
Michael Morrongiello
Re: Simultaneous close… - Posted by Bud Branstetter
Posted by Bud Branstetter on March 06, 2000 at 11:34:05:
I will agree with Mark that it can happen so fast that that they will not know about it. I will disagree that it is not a problem. I would not expect that the title company would insure it with your name in the chain of title. A judgement holder could go after you, the property and the title company even after you sold.
Operating from a corporation or assigning the contract resolves the problem. A responsible title company will want to know the beneficiary of a land trust if you tried to do it that way.
Re: Simultaneous close… - Posted by Mark-NC
Posted by Mark-NC on March 06, 2000 at 07:38:50:
Steve,
It’s not a problem. It will happen so fast they will never even know you did it.
Mark
That was… - Posted by David Alexander
Posted by David Alexander on March 06, 2000 at 19:11:02:
supposed to say… was it a big problem removing the liens or was it just a small pain in the A** that you had to deal with?
I can spell just cant type, and when your already thinking of the next statement when you type as slow as I do… sheeeEEEEEEESH.
David Alexander
Re: Simultaneous close… - Posted by David Alexander
Posted by David Alexander on March 06, 2000 at 19:07:35:
was it a bring problems removing the liens or more of just a pain in the A**?
David Alexander
I stand corrected - Posted by Mark-NC
Posted by Mark-NC on March 06, 2000 at 22:25:18:
As a Note broker I help many people Flip properties I have 2 clients that have tax liens against them. They have both flipped several properties over the last couple years with out having any of these problems yet. I guess I better tell them to watch over their shoulder.
Mark
Re: That was… - Posted by phil fernandez
Posted by phil fernandez on March 06, 2000 at 19:27:20:
Hi David,
Have you recovered from Atlanta yet?
What I did to remove the state tax lien, was first I called up the department of the state that puts these liens on. They in turn had me talk to one of their attorneys.
The attorney said that they could negotiate a cash settlement with me to remove the lien from the mobile that I took back. No way was I going to get any money from the buyer at this point.
The tax lien was in the amount of $580. I called the attorney back with an offer of $100 cash to get rid of this lien. When I made my offer, the unbelievable happened. The attorney said he didn’t want to nichol and dime me and was going to release this $580 lien for nothing. WOW.
Now will this work for you. I dunno. But there must be so many of these liens out there that the state will never collect, it’s my thinking that they will take deep discounts for cash. Give it a try. It worked for me.
By the way David, only you and I were sporting shorts at the convention. At least from what I saw. LOL.
Re: That was… - Posted by David Alexander
Posted by David Alexander on March 06, 2000 at 20:07:32:
I guess somewhere along the line we’ll get these folks to lighten up and relax, lol.
David Alexander