Real Estate Home Mortgages/old mortgage

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Question
My wife and I are purchasing our first home after many years of saving. We found a home we liked a lot and signed the papers in October of 2015. We have a closing date of November 15th and thats when we discovered the problem. The property has an old mortgage on it for 15,000. We didnt see this as much as a problem as the seller agreed to pay the fees. The money was handed over to the attorneys to settle the matter when ot was discovered the company went out of business and there are no records of who took over this mortgage. Because of this nearly 2 months later we are still inable to move into the house or determine who to pay to clear the title. What would be the best solution to clear this issue as the sellers attorney and the company handling the title search for me have been unable to figure this issue out.

Thank you for reading my issue and appreciate any response you can provide.
Jared Tate

Answer
Sounds like a bit of a hairy situation. If the attorney and title company charged you for title insurance they should take responsibility for that mortgage and you should be able to move in.  Title insurance is there to guarantee you get free and clear title, thats what you are paying for.  I assume they have recorded the purchase, if thats the case the home is yours and you can move in.  If they have not recorded the purchase then your mortgage company would have recalled the funds by now.  If you purchased without taking a mortgage on the home then I would recommend the following:

1.  If they recorded, move in and demand the attorney and title company take care of the lien.
2.  if they have not recorded demand a refund of all your money, including Ernest money and find a different home.

based on the information you gave there is a potential of fraud being done on the home you are purchasing.  As a result if you cannot get clear information on what is going on with the recording of the purchase or with your money on getting a full refund I would recommend either getting your own attorney to review the matter, or reporting the closing attorney and title company to your state department of real estate for review.  The situation you are describing does not sound like normal closing problems, and you should not have had to wait all this time.  considering the amount of money used to purchase a home I would suggest getting the legal representation quickly as these situations have a tendency to get more difficult to resolve the longer time goes on.

i hope this helps.  Feel free to follow up with any additional questions.  I hope you are able to get resolution quickly.
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This topic answers questions related to purchasing a home, owning a home, home ownership, mortgage education, mortgage applications, and mortgage needs whether buying a first home or refinancing a current loan. Issues related to home ownership, home equity, mortgage education, refinacing options, home improvment finacing, first time home loans, home equity loans, vactation home loans, and mortgages for investment homes are dealt with here also. Though not the primary focus of this topic, Home Equity Lines of Credits (HELOCS), reverse mortgages, and calculating home equity may also be asked. If you do not see your home mortgae, home finacing, or home equity question answered in this area then please ask a question here

Real Estate Home Mortgages

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Mark Schow

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Can: reverse mortgage, mortgages of all types, debt management and settlement, foreclosure problems, real estate investment strategies. Can't: real estate law, standard banking outside mortgage and debt.

Experience

2002-2004 President of the Utah Association of Mortgage Brokers (UAMB) 2004-2008 Board member UAMB, Fraud task force chair, PR chair, Legislative chair. 2002-2005 Delegate to National Association of Mortgage Brokers, Legislative committee. 1996-2008 COO Debt Free Living- Now Debt Fast Track. Founder of company- consumer debt elimination company. 1994-2008 President Secured Financial Freedom. Mortgage broker, serviced nationwide, 120 employees and handled real estate investment loans for the Carlton Sheets group and some Rich Dad clients. 2005-2011 ARES, LLC. Owner, Manager. Private money investments, business consulting. 2011- present, Reverse My Mortgage, LLC. Managing Member. Reverse mortgage education, marketing and sales. 2011- present. Salt TV Network. Financial contributor, Sales Manager.

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UAMB, NAMB

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High School- Alta High graduated 1984 Brigham young University- 1986-1991 Business Finance Major

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Salttvnetwork.com, Doreen Stein, PEI institute, Franklin Covey Coaching, Capital Financial Group, the rest are consumers- cannot give out names due to privacy but have had thousands of clients both for debt elimination and mortgage work.

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