Every property sale is different. We’ve seen many different circumstances and dealt with them all. No matter how strange, confusing or difficult the situation may be, we can find a way to make it work. There’s always something that can cause issues. These are the top five things we see that can make your closing a little tricky.
- Domestic relations: A domestic relations order is a judgement in the event of a divorce or a separation. It could relate to a property settlement, alimony, marital property rights or child support. A previous or current property agreement can complicate your funding or make it difficult to sell your property. We can work with you to sort out all the details!
- A previous bankruptcy: If you have previously filed for bankruptcy or are in the process, your property options are limited. We can perform a bankruptcy search to ensure that you are clear if you are discharged from your bankruptcy or see if any previous owners have any bankruptcy issues that could lead to lien claims on the property.
- Subordination agreements: A subordination agreement is a legal agreement that establishes a ranking of debts for collectors. Each debt has a different priority that will become important should payment be defaulted. Many lending banks will make borrowers sign a subordination agreement if they have other debts to protect the interest the bank makes on the loan. Making sure that your funding is properly secured with or without a subordination agreement is key.
- Encumbrances and liens: An encumbrance or lien is an outstanding debt that is being held against the title of your property. The debt is averaged against the value of the property, which diminishes the value. In extreme cases where the debt is not paid off, the property could be put into foreclosure by the bank. A previous owner can have an encumbrance or lien that you may not be aware of. When we perform our title search, we look for any liens or encumbrances that could hinder the sale and do our best to resolve them.
- Short sale instructions: A short sale is a property that is in the stages of foreclosure or bankruptcy. Owners or the lending banks are looking to get rid of property quickly to cover the debts. This is a growing field of investment for real estate, and you can find some great properties for a lower value. Because the property is in debt, it can be a little more complicated to place an offer and buy the property. We can help you sort out all the details if you are looking for an opportunity like this!
Closing a property sale is different every time. We’ve seen almost everything you can imagine, yet we still get everything arranged for our customers. No matter how complicated your situation may be, we are here to help!