All Forum Posts by: Rick H.

Trying to operate as a “lone wolf” enterprise is hard enough.

I have no idea how much skill you have or amount of training. 
Be very clear: you are in the opportunity business and your focus should be on hunting for EQUITY.

Houses don’t care; people do! Google is “active intent” and unlikely to yield people that you should be targeting:

These people are those with big problems that they are either not capable or unwilling to solve that you are skilled at resolving.

Go for the obvious: foreclosure, defaulted taxes and tired landlords, IN THAT ORDER.

Leave probate and title opportunities for later when you can handle longer timelines between paydays.

Seems odd that you’d go to on online R.E. forum to get legal advice rather than invest a few dollars with an active, experienced estate planning attorney. This is habit you must avoid or suffer the longterm consequences of shortsighted reluctance to use your money for the right advice.

Doesn’t work that way...

A trust is a private document that is “off-record.”  
it is an agreement that the settlor(s) makes and names one or more trustees to act pursuant to the terms that trust agreement.

There are no “articles of organization” as you describe.

Your best investment will be to go study real estate title in your state. Multiple beneficiaries (or heirs or those with beneficial interests) may have certain rights to act or litigate against a trustee or compel them to produce docs, sub in a pro fiduciary, etc.

Not an opportunity for anyone but the most sophisticated real estate investor.

Attorney rendered an opinion that is inaccurate. Perhaps you omitted certain important facts or details 

1. Garn St. Germain does not apply to a non-residence.

2. You will not prevail if you attempt to sue Wells Fargo as they will typically use Wright, Zak & Finley and you will lose on summary judgement.

For well over (30) years, my primary business is financing inherited California property during the course of trust and probate estate administration. Once Wells calls the loan due you’ll need to have a different plan.

I agree with @Peter Walther.

What are you trying to accomplish?

1. Title companies will ultimately call what’s acceptable if you ever intend to sell or borrow now or later

2. A Quitclaim Deed must be notarized and recorded, however title company will most likely want a notary from their approved list AND require some form of estoppel to support the legitimacy of the release 

3. Deeding off title will not absolve legal obligation if said person also signed a security interest (deed of trust).

4. If they are alive but unavailable, your attorney will probably take you down the Quiet Title Action path (involves court, skiptracing, etc.).

5. If deceased, likely deceased, or incapacitated you’ll probably clearing title within the probate court system.

If you haven’t closed your deal, recognize the time and cost factors and plug those in your offer.

I often wonder how some people “think” about approaching an opportunity…

Posters here on BP often fall in love with the physical property long before thinking this all the way through.

If you start with a motivated seller, they should have the ability to pass marketable title. 
In most cases involving a defaulted reverse mortgage, title is in name of deceased owner of record and, absent a trust, will require probate which will attract more competitive eyeballs. So, your seller is most likely going to be an executor or administrator.

The underlying mortgage is now a secured balloon debt and must be paid in full or risk losing to foreclosure auction at some point.

if you start from the property side and know how much you’re willing and able to pay, you could take your chances by waiting to see if it goes to foreclosure sale, but you will have no control of sale and high shot of being outbid by pros.

Typically, the hanging issue with quieting title relates to due process, specifically noticing entitled parties.

Every state has very specific codes and case law that spells out what constitutes sufficient notice (due diligence search, U.S. Mail, posting, legal publishing, personal service, etc.). 
Whatever is required to satisfy a judge to enter a judgment, including stipulated agreement between parties.

Once a judgment is entered, there is typically a period of time that must elapse that bars any future claims from challenging the judgment, or at least that it could be defended.

This is the date title insurance company would see as their risk minimized. 
The last deal I did like this (California) had a one-year Right of Redemption for the judgment and title company required holding funds so I could insurance and close escrow.

I agree, @Tom Gimer.

Back in the days when I’d speak at western R.E. conferences and clubs, it was fun to help California based investors walk through an estate issue.

However, it did not “translate” well at the national level. Especially here on BP. People do a couple of deals in their local market and label themselves as “experts” and newer investors take their advice nd attempt to apply in local jurisdictions in an entirely different state. Also, consumer-types looking for free legal advice frequently get on the forums and create all sorts of havoc.

I recommend those who wish to focus on probate transactions find or start small, local groups that members can be vetted and manage for contributions to helping others.

Have completed well over 2,000 estate deals since I started in 1978, I have no reservations about being qualified on these forums. 
That said, probate estate and other title-related transactions can be so darn complex sometimes. And then compounding with differing laws state-to-state along with a tenancy of many posters who are not investors but wannabe profiteers looking for free advice or outright promoters who are fraudsters, the category is ripe for problems.

This is NOT where the successful probate people hang out. We have our own local groups.

Easy response to last question.

You won’t own anything that can be pledged as collateral.

Do you want to own the property and get full benefits of ownership?
If yes, you’ll need to vest (hold) title in a manner acceptable to lenders and subsequent buyer(s).