All Forum Posts by: Roy Oliphant

@Thad Strobach

Tax deed investing in Texas has become VERY competitive in all of the major areas AND their surrounding counties.  There are some deals in the smaller counties but usually there are a couple of local folks who have all the tools in-place to make higher offers on the best properties.  That said, we still work them all.

OTC properties are OTC for a reason.  In the last year or so, anything good (and a lot not so much) sold at the auctions.  However, there are a couple of things that can sometimes result in an OTC deal.  Vacant land often doesn't sell so if you have a use for it, there are some deals.  Also, some properties have so much taxes owed they will not sell at the original auction.  A few counties may offer these OTC but mostly they will be re-auctioned with a lower starting amount.

@Latreeka Williams

@Denise Evans is the expert here for Alabama.  Hope she will jump in.

Where you stand depends on whether the house is vacant or not.  Alabama is special in that the holding the lien does entitle you to 'rents'.  Taking possession is a different question and will usually involve significant legal process if the property is occupied.

Getting a tax deed on a property that was sold in the 2015 sale will take a while as the lien must mature for at least three years before a deed can be issued.

I remember seeing a site somewhere that was like the blue book value for mobile homes.  But since condition is so much a part of the variable, I did not think it was very useful.  You might try to call a couple of the financing companies and see if they will give you a loan estimate. 

Also, if he doesn't own the lot, make sure you know what you will do with it.  If the lot owner doesn't want you to have a rental home on their lot you will need to plan on moving costs.

@Corey Schneider

In Texas, it is a simple eviction process.  Send the notices and file with the local JP.  If they refuse to leave then you file with the Sheriff for a set-out.  Now, the not so simple: Some JP's are VERY tenant friendly and you need to make sure you have all the notices correct and to the correct folks.

Since the old owner probably has a Right of Redemption (180 days or 2 yrs, in Texas), you may want to negotiate a cash for keys where they also sign over that right.  Get legal advice for this! Do it wrong and some judges will invalidate it.  If it works, it can save you some time in getting closer to a clean title but you will still have to wait the 2 yrs of the contestability period before you will be able to get title insurance.

@Elizabeth Pharis

I really do hope you get this resolved.  And treble damages would be a very good thing even knowing the money wont cover the worry and trouble you are dealing with. 

Good luck and please do keep us informed as to how things progress.

@Elizabeth Pharis

So sorry you are going though this.  I have shared this with a couple of my partners and everyone agrees this is a textbook example of how bad a deal can go.  I hope you find a solution that works for you and your family.

I suggest you try to find someone at the original mortgage company who will provide a statement that makes clear their intent was to include the property with the house, not the subdivide for the driveway.  The earlier in the chain of transfers you can get this, the better your claim will be. 

That said: @Greg H. @Kim Knox  Do either of you really believe there is any possibility of her winning this case?  (Sorry, Elizabeth) Real estate (in Texas) is always 'buyer beware' and based on the recorded documents not verbal or other agreements.  While it is 'obvious' to any reasonable person that the intent was never to make these transactions on a driveway, if all of the documents reference that as the legal what recourse does she have other than a long and costly legal battle that few lawyers would take on contingency?

I hope she finds an equitable answer.  The lesson here for everyone else is to make sure you know what you are buying and do not trust anyone you are not directly paying to do the job for you.  Even then you have to be Reagan: Trust but Verify.

@Robert Steele

While I agree the statute does not specifically give the mortgagee a redemption right, it is well established in case law (all the way to the US Supreme Court).  Generally, courts have interpreted the tax foreclosure statutes with a finger on the scales on the side of the previous owner and not the investor.  So long as the investor gets the statutory return (In Texas that is a 25% annual penalty rate) courts will try to find a way to return the property to those previously involved.  Maybe owners vote and banks contribute while investors just enrich themselves. 

Our experience is the lender will usually try to pay the taxes before the auction.  However, there are times when they miss getting that done and the property goes to auction.  When this happens the lender will usually redeem the property after the sale, depending on the numbers.  We've had a few like this and they get redeemed pretty quickly. 

@Charlie Rushton

Your question is a little confusing due to the phrasing 'non licensed re professional'.  If you are meaning can an individual RE Investor use them; as they are provided on a public state supported website, there should be no issue using them for your personal transactions.  If you are meaning can you complete them for a transaction in which you are not a direct party, that would generally be acting as an agent and would not be legal for someone not licensed.

Refinancing may be an issue on a property of this value.  I would not make any assumptions on that until you have the financing commitment.  Still if you can make the deal happen, the numbers seem good IF you have a local property manager in place.  Not something you want to work out once the tenant is calling.