Alabama Tax Deed - Chain of Title/Unrecorded Deed

[Brooke Dunn]

Hello!  Recently purchased a tax deed for a vacant land lot from the state of AL.  The tax sale that resulted in this deed was in 2011.  After receiving the deed and doing some title work, it was determined that this property also went to tax sale in 2007.  On the deed, it states there is an UNRECORDED Deed from the 2007 tax sale.  After speaking to the county, I discovered that the person that purchased the property at the 2007 tax sale had enough tax certificates to get a tax deed, but never did so.

As it stands right now, the last recorded deed on this property, prior to mine, was in 1996.  In order to clear up the Unrecorded Tax Deed, the city says that I need to get in touch with that person and ask them to file the deed.  Is this correct?

If so, should I also be pursuing a quit claim deed from this person at the same time?  Do I also need a quit claim deed from the last deeded person in 1996?  I believe that I have located both people, but I want to make sure that I am doing this correctly for my first go!

Thanks for any advice you are able to provide!

[Denise Evans]

@Brooke Dunn  You do not need to find the 2007 investor and get them to record their tax deed. They probably never surrendered their certificate to get a deed.  The 2011 tax sale wiped out whatever interest they had.  A title company will require you to file a quiet title lawsuit and obtain a quiet title order before they will insure title. Without title insurance, you will not be able to sell on a warranty deed for full retail price, and you will not be able to borrow money and provide a mortgage on the property. THERE ARE NO EXCEPTIONS to the quiet title lawsuit in Alabama, no matter what anybody else tells you.  Alabama tax sales law is far too complicated, and there are far too many ways for former owners to still have rights, for any title company to take chances without a quiet title order. If you will contact me, I will send you a list of lawyers who know this very specialized area of law. You can contact several of them and make a decision about who to hire.  I am retired from practicing law, so I am not on the list. This is not a "plug" for you to hire me.