How can they give even more time after Notice to Redeem date?

Question

I am holding liens on 3 properties from our Land Sale in July.

The Notice to Redeem date is today,But yet they say the owner still has the time it takes me to get the deed in my name? How can they do that?

I think they have had enough time.

Jon Holdman · Answer

@Christina Hall none of that matters at all as far as the process to take possession of a property you acquire via some type of auction. There is a well-defined process and timeline for you getting full possession. Arguing you're doing a good thing for the community won't get you anywhere. Following the process will. These vary from state to state, and sometimes even by county. If you do not fully understand the process in your area, I recommend spending a few hundred dollars on an attorney who can at least explain the process in detail. What you think doesn't matter. What the law and the process says is all that counts. Set aside your frustration that things aren't going as smoothly as you would like, figure out the process, and follow it carefully.

Someone may well redeem at the last minute. That's their right under your law. Absolutely nothing you can do about that. Further, investors sometimes buy redemption rights from an owner, and then redeem. They may well wait until the last minute to do that.

As with many things in the business, there are battles you can win and battles you cannot. Better to spend your energy on fighting the ones you can.

Someone may well redeem at the last minute.  That's their right under your law.  Absolutely nothing you can do about that.  Further, investors sometimes buy redemption rights from an owner, and then redeem.  They may well wait until the last minute to do that.

As with many things in the business, there are battles you can win and battles you cannot.  Better to spend your energy on fighting the ones you can.

Roy Oliphant · Answer

@Christina Hall

Now we get to the crux of the issue; an over-excited investor.  Remember this feeling.  Then use it to evaluate your position on your next deal.  Emotions are ok when you get the check, not when you are estimating what the check will be.

Wayne Brooks · Answer

If you don't like the rules of the game, don't play the game.

Matt Devincenzo · Answer

I'm not familiar with your state specific guidelines so I won't/can't comment on that.

I know it seems unfair or biased somehow, but it does seem to have some basis in logic. Let's say there is a 10 day redemption period (just for a talking point). Now you wait out the 10 days and there's no redemption, that means on the 11th day you now have the ability to file for a deed but not the obligation to do so. If you wait say another 30 days...just because....you haven't exercised that right. So should the former owner have lost their right even though you haven't exercised yours?

It seems to me there was/is a basic idea underlying the creation of the rules, that there should still be an opportunity to redeem in the event that the lien/deed holder chooses not to perform quickly. I'm not sure how long from applying for the tax deed it actually takes for it to record so maybe there is some sense of it not being fair. But assuming that once you file it is a quick process of a couple days then it seems it's just an attempt at being equitable to all parties involved....especially the one that is "losing" on the deal.

Roy Oliphant · Answer

It is usually controlled by the language in the code.  Alabama also allows the owner to redeem until the deed is recorded.  Texas (deed state, not liens) doesn't start the redemption clock until the deed is filed for recording.  Remember, the previous owner may be a voter.  The taxing authority just wants the money.  They are not there to make it easy for investors.

ALWAYS, ALWAYS, ALWAYS know the specifics of the code in the area you are investing.

Christina Hall · Answer

The owners have 3 years to come back and "Try" to get their property back.

Does that mean I can not sell it for 3 years too?

Christina Hall · Answer

The check amount has not even been a thought! I'm still just hoping for a deed :-)

I'm a Antique lover and nothing rings my Bell like old wood. This house is a old brick with 4 units. Just from looking in the windows I seen all original trim,doors, floors,baseboards, mantals & light fixtures. IF I do get it I will not keep it because it's on the wrong side of town for me But I may have to take a few things for my house :-)

Sean OReilly · Answer

I'm not sure if truer words have ever been spoken.

Christina Hall · Answer

I understand the process going into it all and I don't have a problem with the whole process I just think that at the end of it all when they list the FINAL date they should not be able to do anything after that point.

Things are going very smooth for me & think maybe I'm just getting over excited because its almost finished:-)

Christina Hall · Answer

If I "don't play the game" then these homes sit even longer to the point of non repairable, the homes around it drop in value, the druggies have a place to crash, kids in the Neiberhhood can be injuried . Do I really need to continue?

How can they give even more time after Notice to Redeem date?

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