Skip to content
×
PRO
Pro Members Get Full Access!
Get off the sidelines and take action in real estate investing with BiggerPockets Pro. Our comprehensive suite of tools and resources minimize mistakes, support informed decisions, and propel you to success.
Advanced networking features
Market and Deal Finder tools
Property analysis calculators
Landlord Command Center
$0
TODAY
$69.00/month when billed monthly.
$32.50/month when billed annually.
7 day free trial. Cancel anytime
Already a Pro Member? Sign in here
Pick markets, find deals, analyze and manage properties. Try BiggerPockets PRO.
x
All Forum Categories
All Forum Categories
Followed Discussions
Followed Categories
Followed People
Followed Locations
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback

All Forum Posts by: Roger Gelpey

Roger Gelpey has started 21 posts and replied 49 times.

Post: AL quiet Title time frame?

Roger GelpeyPosted
  • Investor
  • Danvers, MA
  • Posts 50
  • Votes 5

We applied for and received two tax deeds on adjoining parcels in Mobile last year and are looking into quieting the titles on them. A little context: the parcels belonged to an elderly gentleman who is now deceased. The taxpayer apparently had one next of kin and died intestate. There has been a finding that a sister is the only heir to his estate which mainly consisted of these properties. We have attempted to contact the heir to obtain a QC deed to no avail. I am now in my second go around with quiet title actions and every time I turn around the rules seem to have changed. The last time it took my other attorney, close to three years to finally close things out (covid contributed).

I got the following note from my new attorney and as I say the opinion he is giving is a new wrinkle to me. Any input is welcomed!!!

Dear Roger:

Normally, a tax deed holder must have had adverse possession of the property for 10 years in order to quiet title. Some attorneys have had success with three years of adverse possession under what is called the “Short Statute of Limitations”. Unfortunately, the short period does not begin to run until “Three years after [the tax purchaser] is entitled to demand a deed”. U.S. Bank Trust v Trimble, (2180742 released November 1, 2019) City Gulf Land Co. v. Buzzelli, 501 So.2d 1211, 1213 (Ala. 1987); see also Austill v. Prescott, (MS 1170709, July 12, 2019). You were not entitled to demand a deed until March 28, 2022. Thus, I am sorry to report that you cannot file a quiet title case until March 28, 2025. I must also caution you that the “Short Statute of Limitations” may be vulnerable to legal attack.

I had not focused on this issue earlier since we had been trying to get a quit claim deed from the only heir.

Post: Charging back/lost rent to taxpayer on tax sale house in AL?

Roger GelpeyPosted
  • Investor
  • Danvers, MA
  • Posts 50
  • Votes 5
Quote from @Scott Matthew C.:

Hmm... this is something new. "Rent"... to me, it sounds unethical and illegal? 

I would contact the state treasurer and provide them with your question. Just a thought.


 It came up when consulting on a redemption situation involving 2 tax deed properties I have in Mobile. The attorney in question mentioned a case he was on the losing end on involving a similar situation. Here is a link to the case (hat tip to Denise Evans!):

https://bp-v-newproduction.s3....

Post: Charging back/lost rent to taxpayer on tax sale house in AL?

Roger GelpeyPosted
  • Investor
  • Danvers, MA
  • Posts 50
  • Votes 5

I recently had a conversation with an attorney in AL regarding a redemption that is probably going to take place on a couple of adjoining tax deeds I have, and he mentioned something about possibly charging the taxpayer/redeeming party some sort of rent. He couldn't remember the legal term for it but apparently it was something fairly recent out of the state supreme court. Does anyone know anything about this? Denise....? Mainly I'm looking for the legal description so I can research it. Thanks!

Post: Redemption interest question

Roger GelpeyPosted
  • Investor
  • Danvers, MA
  • Posts 50
  • Votes 5

I wasn't sure how to search this, so I thought I'd just ask here...

When figuring out an amount required for a taxpayer in AL to redeem directly from me is it customary to figure in interest for "use of money" on expenses incurred during the time I held the certs? If so, what is the proper rate to figure at? I know the 12% rate is too high.

Thanks!

Post: Alabama Tax Sale Redemption Rights

Roger GelpeyPosted
  • Investor
  • Danvers, MA
  • Posts 50
  • Votes 5

This has been a very helpful thread!! I have a two part question:

a little backround: we bought a state owned cert. and have since received a tax deed on it. upon getting the cert we went to the property and found a gutted (for renovation apparently) structure which was subsequently lost by the taxpayer. We cleaned out and secured the structure with plans to perform full repairs upon getting title. We have paid the city of Mobile for city performed vegetation abatement as well as our own landscapers over three plus years. We also trimmed several trees that were affecting not only "our" house but also a neighbor's as well. We have learned after all these preservation measures that the structure is below the new flood level and needs to be raise up or razed to the ground and it was stripped from the tax bill. my part 1: Are we entitled to include those expenses in the redemption demand to the lender who is apparently looking at foreclosure/redemption?

Part 2: We forgot the need to alert the lender via certified mail as to the sale and went through an attorney to file for quiet title action. The lender has responded to the court and is contesting the action which is fine by us. Our question is if we can include the fees for this action (and clearing an IRS lien) in the redemption figure?

Thank you in advance!

Quote from @Chris Seveney:

@Roger Gelpey

Get an attorney

Did they record the mortgage? If so, were they properly notified of the sale?

If recorded and bit properly notified that could be problematic

I have an attorney but he moves at less than a snail's pace. I realize the courts were closed and then backed up but 2 years is a bit much. at any rate the lender is himself an attorney and claims that proper service was not done until May 21 but I was told it was on May 10. He responded today on the last day of the 30 day period (if his date is correct). What should I be asking my "highly recommended" lawyer?


We have cleared all the obstacles to our quiet title IRS, taxpayer, liens etc but private lender has filed pleadings. Can anyone please advise on my options to deal with this? A little backround: The property is vacant and was gutted by the taxpayer who had obtained a private mortgage and defaulted when I guess the project went sideways. We have obtained the tax deed and as stated cleared the IRS claim on the property against the taxpayer and all govt liens. The lender has apparently filed pleadings with the court regarding not being paid the balance of his mortgage. I have not spoken to our attorney as of yet and was hoping to get some insight prior to doing so as he has taken 2 years to get this far with the case (pandemic etc). Thank you in advance.

Roger Gelpey

Post: Alabama tax deed property with IRS lien on taxpayer

Roger GelpeyPosted
  • Investor
  • Danvers, MA
  • Posts 50
  • Votes 5

Thanks as always Denise!!! You're a life saver!

Post: Alabama tax deed property with IRS lien on taxpayer

Roger GelpeyPosted
  • Investor
  • Danvers, MA
  • Posts 50
  • Votes 5

I am getting ready to apply for my deed on a property with an IRS lien associated with it. The "former" owner has debt of other sort as well as the IRS and we are getting a title binder to sort all that out as to the QT action. My question is that according to some education that I've taken (multiple) the seems to be a way to "extinguish an IRS lien after 120 days. If anyone can point me in the direction of the source of that info I'd be eternally grateful! Thanks as always!

Roger G

I am curious if there are any circumstances that if a certificate holder fails to apply for a deed but maintains taxes as current he can lose rights to a property other than redemption within the additional 3 years (or bank redemption). This question is asked to settle a "discussion" so I am looking forward to the answer!