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Updated over 3 years ago on . Most recent reply

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Mitchell Gisi
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Inherited cabin from grandpa. Wasn't in his name. What now?

Mitchell Gisi
Posted

Im hoping folks who have dealt with a large variety of situations might be able to help me out. I'll try to make the story as brief as possible.

In the late 60's, my grandpa bought a small hunting cabin in eastern Oregon. He bought it from the girlfriend of the gentleman who legally owned the property. The gentleman passed away unexpectedly leaving his girlfriend to sell everything. Grandpa bought the cabin for some cheap price, had the girlfriend sign the deed, and had it recorded. 

Because the girlfriend had no legal right (no arbitration/probate/will from the deceased) the property never transfered legal ownership to grandpa. After all these years he had just been paying the taxes and using the place as if the sale had been fully legal. 

Grandpa passed a couple years back and left the place to me as he knew I had the most love for it. But now, I can't transfer it into my name... Is there anything to be done in this situation? I've conceived of notions such as letting the taxes go delinquent and then buying doing the tax lein foreclosure process on it? Would that even work? Other ideas?? Thank you! 

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Davido Davido
  • Rental Property Investor
  • Olympia, WA
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Davido Davido
  • Rental Property Investor
  • Olympia, WA
Replied

@Mitchell Gisi, there is nothing in the Oregon Adverse possession statute that requires the adverse possessor to use a property as their primary residence.  A person can even 'possess' the property of another without living at the property. Renting the property to a third person qualifies as possession.  I've done so in nearby WA State for years. https://www.biggerpockets.com/...

 However, misunderstandings regarding Adverse Possession are common. There are many attorneys, and more than a few Judges, who lack knowledge of the purpose and function of the law. Here is a post discussing one such instance. https://www.biggerpockets.com/...  

Tracking down all possible next of kin to get them to sign a release is an option that can work.    In my experience, it is the most difficult option, only once has it gone smoothly.  Difficulty and greed make locating the next of kin a great choice for attorneys. It is a path likely to generate legal fees for years. 

@Tom Gimer's advice was spot on and succinct.  File a lawsuit asking the Court to 'quiet' the title in your name.  Be aware that the court will require you to notify the known next of kin of the last legal owner of the cabin. Notification is only simple if there are no known relatives. Then notice is made by printing it in a publication of record. If there are relatives, most will not hire an attorney or personally respond to the quiet title action regarding a property that no one in their family has used for decades -except on occasion to satisfy their curiosity.  

In the quiet title action, your 1st claim is that you are the rightful owner by the intent of your grandfather. Know that this claim could backfire if you do not have proof that your grandfather gave the property to you alone. Proof could be a statement signed by him, a video of his statement (video will), or the testimony of persons. Otherwise, a judge who decides that your grandfather had title to the cabin would be required to follow the Oregon Statute of Intestate Succession and may be required to award the property to the next of kin as specified in the statute. https://oregon.public.law/stat...

Also, if you do not have your grandfather's will, then the Quiet Title judge is likely to require you to notify all of your grandfather's (your) relatives.  At least those who are in line before you under the Oregon Statute of Intestate Succession. 

Your second claim is that Oregon Law gives you the legal right to the title under the Oregon Adverse Possession Statute.  Be ready to prove, you have been openly using the cabin as your own, to the exclusion of all who did not have your permission, as did your grandfather before you.  Your grandfather is your predecessor in interest and your right to the property builds on his

Your third claim is that you have an equitable (financial) interest in the property because, you and your grandfather before you, have maintained the property and paid the property taxes under the belief you owned it. (color of title). 

Best wishes, Mitchell

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