Forgive me if this has been asked. I didn’t find anything under search.
Let’s say I give a seller a few grand and he were deed me his house with a small amount of equity. My plan would be to lease or rent to another occupant while paying on the original mortgage. (We’d be in violation of the due on sale clause but we’ll save that for another discussion.)
However, the title company won’t give title insurance since the original loan is still on the property. I wouldn’t feel comfortable with only the title check. How do I work around this small obstacle?
Why would the title company not give title insurance?
Perhaps some won’t.
IF you encounter one that will not, find another that will.
They exist, as several of us here have closed subject to deals using title insurance.
They will list certain things in the policy with regard to the loan being left alive and in place perhaps, but that’s fine.
Call some local investors and see who they use for title insurance.
If you cannot locate a title company, seek an attorney to do the close who furnishes title work and title insurance as well.
In most places/states I’ve worked there are cooperatives or groups of attorney’s who pay for, and use title insurance companies, called things like, “Law title”, “Lawyers title” "etc, ask some local attorney’s about that as well.
Much more flexible when your closing attorney is doing everthing, title insurance as well.
Don’t know, but I guess it’s because they’ve never done it before and assume it can’t be done. I’ll take your advice and find someone who will do it!
They exist, as several of us here have closed subject to deals using title insurance.
They will list certain things in the policy with regard to the loan being left alive and in place perhaps, but that's fine.
Call some local investors and see who they use for title insurance.
If you cannot locate a title company, seek an attorney to do the close who furnishes title work and title insurance as well.
Ok, cool, thanks for this info! You just gave me a lot of confidence. I now KNOW I can get it regardless of how many people tell me no. It’s simply a matter of finding someone who will do it. If I can’t, I’m sure I could use a title company/lawyer in an entirely different city to do the work for me. If you guys found someone I should be able to!
In most places/states I've worked there are cooperatives or groups of attorney's who pay for, and use title insurance companies, called things like, "Law title", "Lawyers title" "etc, ask some local attorney's about that as well.
Much more flexible when your closing attorney is doing everthing, title insurance as well.
Cool, will keep in mind. Might not even need the title company!
What about FORMS? I have some forms from David Finkel. They look decent, but I’m concerned because he made mistakes such as writing “your” for “you’re,” etc. Not that I can’t just change that, but if he’s sloppy with spelling, he might be sloppy with leaving out important clauses! My friend has some from Jeff Kaller I could use, but I haven’t look at them. Where do you guys get your contract forms, or, do you make your own?
I did take your advice and looked into it. I DLed Jim’s free audio speech and am listening to that now. Are all the forms I’ll need there, including trust forms and steps to take, how to cover myself on both buying and selling, etc?
I didn’t buy it because, like a book, I like to preview it before I buy (which I’m doing). Plus I have read soooo much material by other gurus, I have all the info. What I need is something I can get through in a day, and something that has all the steps listed in order, and forms I can print out. Is Jim’s material like this? I made my own list of what do, but, I would trust someone who’s done it dozens of times over myself.
(Note: the reason I have studied for a year and not taken action is because I’ve been out of the country. I’m calling sellers today though!)