Delinquent Properties in New Orleans

[Rodrick T McCormick]

I went to the city tax office the other day to ask for a list of delinquent properties,and they said there was no list that I can receive or look at . Where can I find a list of these properties in New Orleans and surrounding areas?

[Braden Smith]

Do not buy anything from Civic Source. They will tell you that you will get a clear title, but it is not actually clear. What you get is a special endorsement on the title insurance. The problem with that is that many lenders do not feel that this special endorsement is sufficient and will not lend on these properties, so if you are flipping it or building new you will have a hard time securing a buyer.

Here is an example:

One of the contractors I work with bought a lot from Civic Source. He built a spec house on that lot then put it up for sale. they found a buyer and got it under contract. During the underwriting process for the loan, the lender discovered this lot was bought from Civic Source and did not actually have a clear title, but had the special endorsement on the title insurance. The lender sent it up the chain to his supervisor and they said nope... no way jose. Not lending on that. The buyer went to multiple other lenders who all refused to lend on that property. In order to get this resolved the contractor/builder had to track down the original owner of the property and pay them off to sign a quit claim.