Help! Title issue in SC and trying to close.

[Alan Sweeten]

We are supposed to closing in 8 days on a duplex in South Carolina and I just found out that the previous (deceased) owner had joint ownership on title of property at some point.    Then changed title to himself using Power of Attorney for the other person.   How is that possible?       

Their attorney will insure title through Chicago title but what happens when/if we sell.   What if some long lost heirs later pop us down the road.  Is this easy to fix?   Does Chicago title cover the fix or do we? 

Any direction or light on the issue will be greatly appreciated. 

Alan  

[Jay Hinrichs]

Originally posted by @Alan Sweeten:

Thank you @Account Closed , we pushed back a little and evidently there is some family drama. They produced documentation for the POA and record of $65k transfer before the quit claim to current owner. Made us feel a little better. But...

Question for you, our lender indicated that this is very common.  She seesthis 1in every 5 transactions.  Have u seen this.   I thought that as an attorney state the sellers attorney is signing off on clear title.  So I would think she would want it clear.  It’s her license on the line.  

That’s a good idea for checking the policy.  Thanks.   Here is CA we use escrow companies and our person here said she would be cautious but she didn’t know about attorney states.   I will be calling around Monday.

Thx again, 

Alan

IN SC I sure do.. that's why when I go into contract in that state I run title day one.. so this does not happen at the end after I spend money on due diligence.. most closers there wait until the last minute to run title so its a little backwards compared to CA or OR WA NV etc.