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Updated over 10 years ago on . Most recent reply

User Stats

51
Posts
9
Votes
Jon H.
  • Investor
  • Birmingham, AL
9
Votes |
51
Posts

I Bought a house from Hud and now a lady called saying her mom died and it is her property. Should I be worried?

Jon H.
  • Investor
  • Birmingham, AL
Posted

I bought a HUD home in Birmingham Alabama about a month ago. The house needs everything done. I put a new roof on it already and have resided the front.
Today I had a lady call me saying her mother owned the house and that she died and she is the next of kin and the house was sold illegally. She asked who i bought the house from and i told her HUD. She said she was trying to figure all this out to give the information to her lawyer.
This is my first rental and I don't want to invest all this money into renovating the property i could possibly lose the property. I called the Title company and they said the 1 year statue of limitations has expired and that i was protected. I was just wondering if this lady has any ground to stand on?

Your responses are most appreciated.

Most Popular Reply

Account Closed
  • Investor
  • Central Valley, CA
3,729
Votes |
6,037
Posts
Account Closed
  • Investor
  • Central Valley, CA
Replied

I wouldn't even worry about it for five minutes. But I wouldn't have answered any of her questions on the phone either.

If you bought it from HUD, it means it was foreclosed on. There was a mortgage that the heirs may or may not have known about. Regardless, the mortgage most likely didn't get paid and the foreclosure went through Then their sale to you went through and I'm assuming you have title insurance.

Let the heir consult with attorneys and figure where she stands. I suggest you don't communicate with her or her attorneys (if she actually gets one). Let them make a case if they have one, against the lender and/or the title company.

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