Real Estate Question

RichNC · #61 01/25/15, 05:57 PM

So did you call them FarmBoyBill??

Nevada · #62 01/25/15, 06:03 PM

Quote:

Originally Posted by po boy

Of course on the Title Insurance.......................

Honestly, I don't think a warranty deed is any better or easier to do a search on than a QCD.

The warranty (grant) deed offers a gesture by the seller to "forever defend" your ownership. I think a lawyer will tell you that's worth something.

I'm not suggesting that a grant or warranty deed isn't a notch above a quit claim deed, but if the chain of title is clear the quit claim deed is sufficient.

Really, the deed I have for my home is probably a step below a quit claim deed in some respects. My deed specifically states that

"does hereby grant and convey, but without covenant or warranty, express or implied"
https://dl.dropboxusercontent.com/u/22059150/deed.pdf

A quit claim deed makes no claim of ownership of warranty, while my deed specifically says there's neither. But as I said, there are protections by state law. I've also researched the chain of title myself at the recorder's office. I'm confident that title is clean.

I suppose it's all in what you find a comfort level in. Some people in my situation might not be able to sleep at night without title insurance. I'd rather have the $500. Maybe someday I'll apply for a reverse mortgage and have to get title insurance.

po boy · #63 01/25/15, 06:11 PM

Quote:

Originally Posted by Nevada

The warranty (grant) deed offers a gesture by the seller to "forever defend" your ownership. I think a lawyer will tell you that's worth something.

I'm not suggesting that a grant or warranty deed isn't a notch above a quit claim deed, but if the chain of title is clear the quit claim deed is sufficient.

Really, the deed I have for my home is probably a step below a quit claim deed in some respects. My deed specifically states that

"does hereby grant and convey, but without covenant or warranty, express or implied"
https://dl.dropboxusercontent.com/u/22059150/deed.pdf

A quit claim deed makes no claim of ownership of warranty, while my deed specifically says there's neither. But as I said, there are protections by state law. I've also researched the chain of title myself at the recorder's office. I'm confident that title is clean.

I suppose it's all in what you find a comfort level in. Some people in my situation might not be able to sleep at night without title insurance. I'd rather have the $500. Maybe someday I'll apply for a reverse mortgage and have to get title insurance.

Defend with what? Most sellers could not and would file bankruptcy. At that point you are in the same position as if you had received a QCD.

Nevada · #64 01/25/15, 06:18 PM

Quote:

Originally Posted by po boy

Defend with what? Most sellers could not and would file bankruptcy. At that point you are in the same position as if you had received a QCD.

That's true. Without a title policy a grant deed isn't worth a lot in a dispute.

It happens sometimes. Every now and then what lawyers call a "wild deed" pops up, where someone presents an unrecorded deed and claims ownership. Depending on the laws of the state you live in that might not be a big deal, or it could be a huge deal. There is no way to anticipate a wild deed. Title insurance is the only way to protect yourself.

po boy · #65 01/25/15, 06:23 PM

Wild Deed???? Never heard of that! Does it come with a Wild Woman???

Nevada · #66 01/25/15, 06:41 PM

Quote:

Originally Posted by po boy

Wild Deed???? Never heard of that! Does it come with a Wild Woman???

I don't know about that. LOL

There are a lot of myths out there too, apparently to encourage title insurance. I've heard a few times that the IRS can lien a property after it's sold, so you could get stuck with somebody else's IRS lien without knowing it. I've asked a few lawyers about that one and they say it's nonsense.

billinwv · #67 01/25/15, 07:23 PM

Quote:

Originally Posted by treefrog

bill,

that's a non sequitur. first, i don't know or care about the money a seller spends. i don't sell land.
"...if listed." in this case (the original question) it's not. it's a for sale by owner deal. money spent by somebody else is none of my business. you're thinking like a salesman.

Yea and I have laughed all the way to the bank many times selling real estate. I bought one FSBO and immediately listed it and sold it for double what I paid for it. I'm 54, retired and living off the principal and interest from properties I sold with the help of great real estate agents. A good relationship with a trusted agent and a good banker are invaluable. And no title insurance...NUTS. Too many situations can crawl out of the wood work and cause problems, how many right of way disputes have been posted here? Title insurance covers that among other things.

Declan · #68 01/25/15, 07:57 PM

Quote:

Originally Posted by Nevada

I don't know about that. LOL

There are a lot of myths out there too, apparently to encourage title insurance. I've heard a few times that the IRS can lien a property after it's sold, so you could get stuck with somebody else's IRS lien without knowing it. I've asked a few lawyers about that one and they say it's nonsense.

Nope on the IRS liens. They are first in time, first in right like most other liens. If it wasn't of record against the seller when the sale happened, it is not a lien on the property.

ChristieAcres · #69 01/26/15, 03:03 AM

Quote:

Originally Posted by AmericanStand

The main purpose of a REA is to bring buyer and seller together.

As a FSBO if you brought a REA into the deal Id likely do one of two things.

A. Require you pay all of the REA fees and not accept 1 cent less than my asking price.
or the more likely,
B. Throw you off my place for being to stupid to be allowed on it.

B isn't just a facetious remark , Id wonder about someone both rude enough to try something that's obviously against my wishes and suspect them of the kind of ignorance that Would have them suing because the creek has water in it or the trees have branches that fall ,et.

Something else to remember is a REA is ALWAYS working for the seller , I think that's actually pointed out in state law here.

A Real Estate Agent or Realtor (there is a difference...) works for the Client he or she represents. A Listing Agent represents the Seller (s). The Selling Agent represents the Buyer (s). The Listing Contract between the Seller (s) and the Listing Agent, specifies the total commission and also what % each Agent is to receive.

A Realtor is a Real Estate Agent who is a member of local boards and also the National Association of Realtors. I am a Realtor and we are required to maintain higher standards. That said, doesn't mean Real Estate Agents don't, but we are under authority to do so.

In addressing a few points in posts...

I review the HUD1 for every transaction and attend my first time homebuyer's closings. That said, I offer to attend all of my Closings, if my Clients want me to. They are all informed that I review their HUD1's prior to their Signing. With 10 years of real estate experience and 7 years of experience in mortgages, I am very proficient at reviewing them.

As it has been pointed out, retaining agent representation can be invaluable, but that isn't always the case. There are quite a few REA's out there who are simply salespeople. I come across them regularly. I have never considered this a sales position. For me, it was always consultation, service, and an honor to assist my Clients in the biggest financial decision most ever made.

****Here, I wish to interject, the following is for clarification only*****

When we moved to Sequim, I researched Designated Broker-Owners. I contacted the Broker I considered the best in Sequim. Chuck Marunde was a Real Estate Attorney for 20 years. His education and experience far exceeds any Broker I have ever met. I was thrilled when he hired me! If any of you are curious about him, google Who is Chuck Marunde?

I became a Managing Broker 4 years ago and also have a BA in Corporate Management. It may surprise many to find out there are others in real estate who are also educated in other fields. Recently, Chuck wrote an article about me, since there have been multiple requests for information. Just google Who is Lori Christie? Or check out my blog.

Now, for why the aforementioned. There are a lot of good Agents and Realtors who aren't particularly happy about all the "agent bashing." For those who are "salespeople," who have fueled this malcontent.

I have attached our WA Law of Real Estate Agency. This is a public document I am allowed to provide to any one. This is very similar to other state laws governing Agents (all states adhere to National Real Estate Laws).

Everyone can choose to utilize an Agent or not. Also, we are all entitled to our own opinions. Other Agents can chime in about misinformation on this thread (there is more). This concludes my post

AmericanStand · #70 01/26/15, 10:21 AM

LOL think on this a moment A REA supposedly working for the buyer gets paid when a sale happens a percent of the sale right?
No sale no pay?
Lower price less pay?

Doesn't seem like a system where everyone would be headed in the same direction. Like they say follow the money.

FarmboyBill · #71 01/26/15, 10:37 AM

Fraid I don't understand your point.

Nevada · #72 01/26/15, 11:06 AM

Quote:

Originally Posted by FarmboyBill

Fraid I don't understand your point.

* The real estate agent has motivation to see the deal happen, regardless of whether the deal is good for the client.
* The higher the selling price, the higher the commission and the worse the deal is for the buyer.

I can't say that a real estate agents take advantage of clients because of those motivations, but there is no denying that those motivations exist.

One thing I've noticed; if you ask a real estate agent if this is a good time to buy they always say that there has never been a better time to buy real estate. I've never seen an exception to that. But a real estate agent shouldn't be saying that, since real estate agents aren't licensed to give investment advice. If called on it they would probably claim that the advice was not investment advice at all, but just idle discussion.

FarmboyBill · #73 01/26/15, 11:51 AM

What im afraid of is that IF I found a place on my own, AND THEN told my REA about it, she may have friends, kinfolk, OR her business partner agents may have same, and she forward them to the place I found. That may not be ethical, but ill never believe it hasn't happened.
I believe that, since agents make their money off of the commissions from the places they sell, that they should be doing what I am doing. Scouring the countryside for these places. IF a REA Co has say 6 agents in it, They can effectively scour a wide area from their base to keep up on the possibility of a private owner deciding to sell without their own REA. They, in doing this would make a commission from me for finding this place FOR me.

Sawmill Jim · #74 01/26/15, 04:14 PM

Quote:

Originally Posted by FarmboyBill

What im afraid of is that IF I found a place on my own, AND THEN told my REA about it, she may have friends, kinfolk, OR her business partner agents may have same, and she forward them to the place I found. That may not be ethical, but ill never believe it hasn't happened.
I believe that, since agents make their money off of the commissions from the places they sell, that they should be doing what I am doing. Scouring the countryside for these places. IF a REA Co has say 6 agents in it, They can effectively scour a wide area from their base to keep up on the possibility of a private owner deciding to sell without their own REA. They, in doing this would make a commission from me for finding this place FOR me.

Why would you tell anyone if you found a FSBO just iron out the deal and move in

I have never bought a place listed by any agent .House i'm setting in now I had just a few days to come up with the money ,like less than 10 or the deal was off. Here we don't dilley doley around

RichNC · #75 01/26/15, 04:52 PM

So Bill, I ask you this once before up thread, but did you even call the people and ask about the home and land??

ChristieAcres · #76 01/26/15, 05:24 PM

Quote:

Originally Posted by AmericanStand

LOL think on this a moment A REA supposedly working for the buyer gets paid when a sale happens a percent of the sale right?
No sale no pay?
Lower price less pay?

Doesn't seem like a system where everyone would be headed in the same direction. Like they say follow the money.

Salespeople follow the money, those who provide valuable service follow and serve the people. Yes, Agents get paid at the Closing. My job, when a Buyer's Broker, is to find the property best fitting my Client's own specific criteria. I show everything, listed or not. I contact the FSBO's in advance to schedule a showing. Never once in 10 years, have I ever been insulted. In fact, they are up front and tell me what they are willing to do if I bring a Buyer. You bet I care about the price...my job is to negotiate to get the best deal for my Buyer's, it isn't about how much I make. The more folks I can successfully assist, the more I will make. The focus can't be on individual commissions or the emphasis is no longer on the best interests of the Client.

Guess you haven't checked out my blog. For giggles, curiosity, or just for an honest snapshot? Go see what my Broker, a Real Estate Attorney of 20 years (now retired from that), Broker-Owner who I work for, wrote about me. He and I share the same views about providing the best service for all of our Clients. I benefit highly by working directly with a Broker of his caliber, as do my Clients. I only assist folks who want my services. If not, they can use any Agent they want or buy FSBO's without representation. After all, the Buyer has the right to choose and can risk any consequences based on his decision (good or bad).

FarmboyBill · #77 01/26/15, 08:15 PM

Rich, I havnt found a place, and I don't know what I said that would make you think I had done so.

RichNC · #78 01/26/15, 09:03 PM

Quote:

Originally Posted by FarmboyBill

Rich, I havnt found a place, and I don't know what I said that would make you think I had done so.

Bill, you started this thread about a FSBO property you saw and liked, people said call them and ask about the property, did you call them an talk to them about the house and land??

FarmboyBill · #79 01/26/15, 09:31 PM

IF you will look at my OP Rich, you will see that it says
(IF by driving around I should see a place)
Well, I havnt.

AmericanStand · #80 01/27/15, 09:34 AM

Quote:

Originally Posted by ChristieAcres

A Realtor is a Real Estate Agent who is a member of local boards and also the National Association of Realtors. I am a Realtor and we are required to maintain higher standards. That said, doesn't mean Real Estate Agents don't, but we are under authority to do so.

Ive found your posts to be good and valuable advice .

But I believe your choice of words here might not have been the best.

I don't believe you are REQUIRED to have HIGHER standards to be a Realtor just to meet certain mimumums.
Other agents are free to have higher standards , even Realtors are free and even encouraged to have higher standards.
AUTHORITY is a interesting word choice here too. Whos Authority do you have and what is it you use it to do?
Personally I believe you are a exceptional agent exceeding the requirements of the Realtor system.