SELLING PROPERTY AFTER CALIFORNIA TAX DEED SALE

[Mark Herman]

I have a question that most brokers, real estate agents or even Title companies are having a problem with. I have purchased several California Properties at tax deed sales. I received a Tax Deed from the county in my name. I know the prior owner or lien holders have one year to attempt to redeem the property through the county and courts. My question is this; Now that I have a tax deed that is only 6 months after the sale I plan on selling the property. If I find a private buyer interested in the property without going through escrow or getting title insurance should I right the deed up from me to him as a "Grant Deed" or a "Quitclaim Deed" to limit my liability?

I believed a Quitclaim deed from me to the new buyer would limit my liability but after speaking to a retired real estate agent I was told to sell it under a "Grant Deed" which lowers my liability.

[Mark Hermann]

Ok, for my situations I found out that Title Companies in California would not provide title insurance and therefore would not take the property into escrow. In fact they ruined a couple of my sale deals. They "Title Companies" really have no clue as to what is going on with Tax sales. I did find one Title company in Southern Ca. that would "clear" the tax sale deed and then have just their title company run the property through escrow through them. Of course they charge anywhere from $1500 to $3000 to clear your title then charge for Title Insurance on top of that.  

So, I ended up filling out my own "Grant Deed", having it notarized and taking it in with the new owner to the county recorders office and filing it with them and the property is then theirs. You can take the buyer into the county recorders office and show them on their computer systems that the property is clear of any liens and is in your name and sold to you at the county tax sale which even states the property is clear of all liens. You can also look up how the new owner wishes to take title in "as a single person, married couple with right of survivorship, etc. 

I advertise my properties on Craigslist and Zillow for best exposure

Good luck, by the way I have 1 property left to sell in Grizzly Flats Ca. then I am done in California, I moved out of state.