Expert: Dick Dennis - 6/29/2011

Question
My father past 3 years ago and his home has not sold, it is a 6 year old home, the issue is location.  He purchased this house in the border area of Mexico a town called Rio Rico.  My family have kept the payments up since his death.  Since it has not sold we are wondering should we let it go into foreclosure? We would appreciate your opinion.  Thanks in advance  Allyson

Answer
If you Google (Wikipedia) Rio Rico, Allyson, you'll find that at one time (up until 1970), Rio Rico was part of Hidalgo County in Texas. But there was a problem with the Rio Grande in thatsome people moved the boundary line (Mexico calls it Rio Bravo) include Rio Rico in Mexico. It remained as part of Texas until the U.S. gave that piece of land with about 2,000 people in it, most of them Mexicans, to Mexico in 1970.

So, if you father bought that house in Rio Rico six years ago, he was hoodwinked if he thought he bought a piece of U.S. The bank that gave him the loan on that property must have been hoodwinked, too.

On top of all that, your dad probably bought the property at the peak of whatever real estate market there was in 2005, Since you're asking my opinion, I would let the property go. The bank will probably sell it at a big price reduction to someone in Mexico.

Just to make sure that what I have said here is valid, you should do some detective work and verify that the house in indeed in Mexico. Then you won't feel so bad about letting it go. One more thing, Allyson: If you hire a real estate attorney, you may find that you will get the value of the property PAID TO YOU, because the title company (if there was one when your dad bought it) is liable for a BIG ERROR. Now your detective work should bring you fruit. I do wish you well.

Dick Dennis
dixiedee13@aol.com