What is a Quiet Title Action?

Also known as an action of quiet title, a quiet title action is a lawsuit—that is brought to establish or settle the title to a property. Clarifying ownership can be a complex and frustrating process. Real property lawyers can help you understand how a quiet title action works and represent your interests in a lawsuit.

Understanding a Quiet Title Action

When one party with an interest in a property files a claim against other parties who have a claim to an interest in the property, the purpose is to determine who is the legal owner of the property named in the lawsuit. When there is disagreement about a claim to title, the action is meant to “quiet,” or remove the objection and eliminate any ambiguities in the title.

If the plaintiff wins their case and a quiet title action is settled, they will own the property in perpetuity, as will their heirs. The plaintiff will also be protected from any further claims of ownership by other entities. Depending on the complexity of the case, a quiet title action can take anywhere from eight to ten weeks or longer.

Reasons for Filing a Quiet Title Action

There are multiple scenarios in which a quiet title action may be necessary, including:

To clear up claims on the ownership of titled real property, often after the death of the owner. This is particularly common when there are questions about whether all beneficiaries have been notified of the sale of an estate. A probate attorney or wills and trusts lawyer should be able to help you if title issues arise when settling an estate.

When a mortgage lender’s interest in the property was not properly resolved after a loan was paid off.

To clear the title of an unoccupied or abandoned property, which allows outside parties to make bids to purchase it.

The conveyance of an interest in a property via a quitclaim deed, in which the former owner denies interest, but does not guarantee that the title is clear.

To convey title to a property in a case of adverse possession, which is when a party occupies property that is not legally theirs for the purposes of laying claim to it.

A quiet title action may also be used to settle tax issues with a property; boundary disputes, surveying errors, and fraudulent conveyance of the property by coercion or forged deed.

Although a quiet title action can resolve these types of issues, it does not give the new owner the same level of protection as a warranty deed. For example, if there are problems with a house, the new owner may not be able to sue the previous owner if they acquired the property through a quiet title action. In addition, a quiet title action will not clear up all issues with a title in every case. In some instances, they can only resolve specific title defects or claims.

At Carosella & Associates, our experienced estate law attorneys can assess your circumstances, determine whether a quiet title action is appropriate, and provide the quality legal representation you need to resolve title issues.

This blog was originally posted at https://carosella.com/blog/what-is-a-quiet-title-action/

Buying a Property in Foreclosure: What You Need to Know

Buying a foreclosed property is a great way to get your feet wet when it comes to real estate investing or purchasing a home. Although the low price of a property in foreclosure is often worth the effort, the process is different from traditional real estate transactions. A good real estate lawyer can help you understand the pros and cons of purchasing a foreclosure, guide you through the process and protect your interests.

What is a Foreclosure?

When a property owner defaults on a mortgage, a lender will take ownership and try to recover their investment by selling a foreclosure for less than market value. Some lenders post bank-owned properties online and the U.S. Department of Housing and Urban Development publicly lists its foreclosures as well.

Types of Distressed Sales

In addition to purchasing a foreclosed property directly from a lender, there are a few other options for getting a good deal on a home or investment property, including:

• Pre-foreclosure –Buying directly from a seller who is behind in their mortgage payments before a lender claims the property.
• Short sale – When a homeowner owes more than a property is worth and a lender forgives some of the debt.
• Public auctions – Bidders have the opportunity to make offers on foreclosed or sheriff’s sale properties.

Get Pre-Approved for a Loan

Unless you’re paying cash, it is always best to get a pre-approval letter from the bank before you make an offer on any property. Having proof of a mortgage pre-approval shows buyers that you are serious about purchasing a foreclosure. It is also important to remember that many foreclosed properties need repairs or renovations, so make sure you apply for an amount that will cover these expenses.

Many people think that foreclosures are only bought by real estate investors who pay cash. This is not always the case. There are plenty of lenders who are willing to help buyers find the right loan to purchase a foreclosure.

Check out Comparables

Running a comparative market analysis (CMA) can help you determine recent sale prices of similar properties in the area. Your attorney can assist you with finding comps and let you know what they think would be a competitive offer for the local real estate market.

Prepare to be Competitive

Because foreclosures are often snapped up by professional investors, understanding how to make a reasonable offer is essential. If a sale is particularly competitive, you may have to offer a bit more than the asking price, but your lawyer will advise you of how much is too much. If you’re buying a commercial property, some business lawyers also handle these types of real estate transactions.

Know that You are Buying in As-is Condition

Property owners who are short on cash sometimes neglect routine maintenance and repairs, so a home inspection is a must. If you’re dealing with serious issues like structural damage, termites, or extensive water damage, make sure to seriously consider repair costs and what your return on your investment may be.

Buying a Distressed Property is a Complex Process

Unlike a straightforward, traditional real estate transaction, buying a foreclosure or short sale requires the specialized knowledge of an experienced Pennsylvania real estate lawyer who is familiar with the process and the law. Your attorney can handle negotiations and deal with any title or deed issues that may arise. Having a lawyer review contracts and any real estate sales agreements is also essential.

Are you considering buying a property in foreclosure? Our experienced team at Carosella & Associates can help.

This blog was originally posted at https://carosella.com/blog/buying-a-property-in-foreclosure-what-you-need-to-know/

Should You Seek Guardianship for an Aging Parent?

As your parents age, the roles of parent and child may be reversed. Adult children often find themselves taking on responsibilities like paying bills, taking a parent to doctor’s appointments, and making sure they are eating properly. Over time, a parent’s ability to perform basic tasks may decline, especially if they suffer from dementia. Although an estate plan and legal documents like powers of attorney can enable you to help your parent make decisions, sometimes a guardianship or conservatorship may be necessary. So how do you know if you need to seek guardianship for an aging parent or a loved one with dementia? An experienced attorney can take a look at your parent’s specific circumstances and advise you of your options.

Your Parent Does Not Have Current Powers of Attorney

Powers of attorney for finances and health care are valuable tools that can protect your parent’s health, safety, and financial security. If your parent does not already have POAs in place and you are worried about what will happen if they fall ill or someone tries to take advantage of them, talk to your attorney about filing for guardianship. Even if your parent has signed a power of attorney, some transactions such as the sale of real estate and other investments may require guardianship, depending on the state. If a parent has already been deemed incapacitated by the court but does not have executed powers of attorney, guardianship may be your only option.

Decision Making Abilities are Compromised

It can be challenging to know when legal guardianship is necessary. For example, if your loved one lives alone and refuses to accept help to make their living situation safer, you may want to look into guardianship. If a parent has lost the ability to make financial decisions, declines necessary medical care, or is unable to take care of other personal matters, you can petition the court for guardianship.

Obtaining Guardianship

In Pennsylvania, a guardian for an adult is only appointed if they are deemed incapacitated by a court.  The court will hear evidence that the person does not have the mental capacity to handle some or all aspects of their life. If a judge determines that the person cannot make informed decisions for themselves, a guardian will be appointed. It is important to keep in mind that your parent has the right to an attorney and may object to the appointment of a guardian or conservator.

To become a legal guardian, you must demonstrate that you are capable of acting in your parent’s best interest. When petitioning the court for guardianship, finding a law firm that employs both family law attorneys and estate lawyers who work collaboratively can help to ensure you have qualified legal representation.

Courts prefer to appoint close family members as guardians. However,  if a case is highly contested by loved ones or an incapacitated person does not have anyone close to them who can act as a guardian, a judge may appoint a professional such as a social worker to handle their affairs.

If you are concerned about an aging parent, our team at Carosella & Associates can determine whether guardianship is appropriate and provide legal counsel you can trust.

This blog was originally posted at https://carosella.com/blog/should-you-seek-guardianship-for-an-aging-parent/