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I expanded my scope, looking around the property we have planned on purchasing and noted a landlocked parcel.------------<SNIPPED>---------------
What I am looking at is a farm, carved up over a hundred years, with some parcel left out... why? I want to know because my planned purchase lines up against it.
And if there are no living descendants what happens to the land?
And should not the county have something for who is paying taxes on it?
And, what about conflicting county parcels?
Thanks for all your advise thus far.
-Mike Z. /forums/images/graemlins/grin.gif )</font>
I congratulate you for taking the effort to investigate the tracts that are around your proposed purchase. You are definitely on the right course.
One reason I can see for the small parcel is that over the years a bad survey was done. When a survey is done it is done by "metes and bounds", meaning compass directions and measurements. And the survey lines should "close", meaning that the beginning and ending points would be the exact same spot.
Unfortunately surveys can be inaccurate, surveyors are human beings so they make mistakes. And I have seen some who were lazy or inept.
Go the county appraisal district (or whatever the equivalent is in your state) and look at their maps and tax rolls. Hopefully they are up to date and will show each plot of land and who it belongs to.
In the case where all the heirs died there is a possibility that the taxes were not being paid and the county, school district, and other taxing entities have a lien on the property. If it has been 30 or 40 years the amount of back taxes, penalties, interest, and legal fees could easily add up to 5 or 10 times the value of the property. No taxing entity that I am aware of can "forgive" any part of the back charges. They may however be able to sell it but it will have to be at appraised value and all entities involved have to agree to the sale. The sale will have to be approved by the elected officials of each entity. Takes months to hash those deal out.
On the upside, those entities are often glad to get rid of it and get it back on the tax rolls so it is producing income for them. And they can sometimes give preference to an adjacent landowner rather than taking public bids. Even if they have to take public bids the only bidders would likely be the 4 surrounding landowners and that would clear up the landlocked issue.
Get a survey and a title policy if you buy the property and be absolutely sure you review them BEFORE closing, looking very carefully for any exceptions, easements, or other encumbrances on the property. If anything doesn't look right get legal advice immediately before proceeding. WARNING: The contract of sale may limit the amount of time you have to protest any discrepancies so don't let that deadline pass.
If there are any problems notify ALL parties in writing sent by Certified Mail, Return Receipt Requested. It is good to call the parties but do NOT fail to send the letters no matter what anyone tells you. Verbal agreements are absolutely worthless in real estate transactions. There is no such thing as a "handshake agreement" in real estate. If it is not is writing it does not exist.
You are going in the right direction. Continue with your research until you get all the answers and are completely satisfied with what you find. Do NOT take anyone else's word (ESPECIALLY the words of a real estate agent) that something is "OK". Sadly, I have seen agents make all sorts of statements in order to get their commission check and the buyer is left holding the bag.
If there is a problem tell the seller it is THEIR problem and make them solve it before closing. A little known fact is that once a seller knows about a defect that seller is obligated to inform any future buyers of the problem. That is handy to know if someone else buys a property you wanted and you send them a copy of the letter you sent to the seller just in case the seller "forgot" to tell them about the problem. At least you will have the satisfaction of knowing the seller was not allowed to shaft an unsuspecting buyer and get away with it. With your letter in hand the buyer has great grounds for recovering monetary damages against the seller.
By the same token if you are the seller NEVER try to hide anything. It will be found eventually and you are likely to be sued. The really bad news is that the statute of limitations in most states doesn't start until the defect is found which can be years after the sale.
Any time a real estate agent offers you assurance about something ask them to put it in writing and signed by all parties to the transaction. If they say "Oh, you don't need a letter about that issue, I am sure it is OK", you can bet your boots that it is NOT OK. Look them straight in the eye and say, "No letter, no sale".
BTW, the #1 cause of lawsuits in real estate transactions is over something that is found AFTER the sale closes that the buyer was unaware of, or pretended to be unaware of, or the seller "covered up", or an agent lied about.
DISCLAIMER: I am a licensed Texas Real Estate Salesperson and cannot give legal advice.
However, being a real estate agent has opened my eyes to some real pitfalls. And yes, I have been shafted in real estate deals myself by agents, inspectors, appraisers, and darn near everybody involved. As usual, most agents are honest, some are just ignorant, and a few are outright liars.
Bill Tolle