Is it legal to have a Land Contract with a Lien already on the house?

Question

I am currently in a Land Contract and I have heard that if the house has a Lien on it that the Land Contract is Void? We have 4 months left on the Land Contract and have realised this house has to many problems and don't want to buy it. We just found out that there is a Lien on the house. We rushed into it and this is your first time trying to buy a home. We want to move but don't know if we have to wait till April or if the Land Contract is Void then can we move now? Thanks, Bill

Answer 1

Sadly it is legal in most states. That's why you MUST have an attorney review the contract BEFORE you sign! And why you MUST have the contract recorded to warn any lenders that the contract is there.

Consult with a local real estate attorney to see what your options are. It might be possible to force the seller to deliver a clean title, or at least to snag his equity if he cannot clear the lien.

Land contracts CAN be a good deal for all parties but there are numerous pitfalls and fewer protections than on a normal sale. An attorney's advice is critical as you have sadly learned the hard way.

Answer 2

If the owner of the land satisfies the lien prior to the closing date, I don't think you have a leg to stand on. You will lose your deposit if you don't perform your end of the contract. If the current owner does not satisfy the lein, you cannot get title insurance and therefore you can get out of the contract.

Answer 3

you have have been given been scammed it relatively is a threat. you ought to touch a identify company and notice in the event that they are going to run a courtesy assets profile for you. tell them you're finding for the owner to the valuables you're residing in with the information which you're finding out to purchase the valuables. you will come across a close by identify company on your telephone e book. in the event that they call is diverse, then you relatively ought to verify and notice if the guy you gave the 5K to have a freelance to sell the valuables. I doubt it. If the above is actual and the names the do no longer tournament you ought to call the close by police officers to enable them to understand which you have been scammed and via whom. Why might call an lawyer? you don't understand in case you have been scammed or no longer yet. This you ought to locate out first. What good will an lawyer do you at this factor different than take you cash for the little propose he will provide you and which would be to call the police so as that they might look at the opportunity of a rip-off. Now as quickly as a rip-off has been got here upon then it quite is quite useful to talk to an lawyer approximately suing the guy who scammed you. now could be pre-mature to pass to an lawyer. now could be police time to permit them to look at the guy for criminal activities. i wish this has been of a few use to you, good success. "combat ON"