Bad Title Work

[Tim Exposito]

I recently bought a property  from someone who had the deed in hand. We did a quit claim deed for a cash sale. 

We just completed a title report and it looks like the deed has transferred hands a few times without the title work to follow. 

Kind of a long story, but the person I bought it from had bought it from his mother who bought it from a city tax auction back in the 90's. There is no title work to show this. The seller said him and another guy had it on land contract, paid it off. No title work ever followed that but they had the deed. They ended up loosing it to the city for taxes and thats when the sellers mother bought it and he later bought it back from her. 

The title agency is telling me that I need to get quit claim deeds from the last land contractor holder and the other party that owned half interest. 

2 out of the last 3 people on any title work have passed away and the last living on is 75 and lives a few states away. 

My lawyer wants to file notice to heirs in the public notices and file a form with the courts to relieve any interest of any previous parties. This could take a couple months and a couple thousand dollars. 

I've got financing being held up until we correct the title work, hate to spend that time and money. Not sure any other way around it. 

Any advice or questions are appreciated!

[Andrew Freed]

@Tim Exposito - Did you purchase title insurance prior to closing? If so, that should provide some coverage from this situation.