Tag Archives: REAL ESTATE

Is verbal agreement with my grandmother legal?

Q: My grandmother has been saying for years she wanted me to have her house. She even gave me the deed. Years later my grandmother has dementia and my aunt is her guardian on a Power of Attorney. I am still in possession of the deed physically but nothing has been transferred to my name. I would like to proceed in doing the transfer but don’t know where to begin (before my money hungry family comes after it. (East McKeesport, PA)

A: I would review the documents and all information with an attorney. The way you present this, it looks to me as if there was no deed signed by grandmother to you. The fact that you are holding the old deed with her name as owner (grantee) does not help you at all. If she is incompetent to sign legal documents at present, she cannot sign a deed to you. Ask your aunt if she will sign a deed to you through the POA.

Can executor disconnect power without notice?

Q: I was living with my mother-in-law when she passed. Her “best friend” who is the executor in the will, has turned off the power without notice and closed her bank accounts. She has not informed any of the creditors of her passing or close friends. The house that she resided in for 32 years has a reverse mortgage. However, I still reside there with her seven cats who I love dearly. I pay the water, sewer, garbage and gas bills. The gas bill was three months behind when she passed and am currently trying to bring current. Please advise thank you for your time, any information is very much appreciated. (Squirrel Hill, PA)

A: If this “best friend” has not been appointed Executor by the court, she has no authority to act on your mother-in-law’s behalf. Merely being named Executor in the will does not give her such authority. She needs to be appointed by the court. I would call the utility companies and inform them what happened, and that no executor has been appointed and you are living in this house. If you get nowhere, call the PA Public Utilities Commission. It regulates utility companies. They may have a remedy and complaint filing procedure.

Fraudulent Seller Disclosure?

Q: I purchased a home in Pittsburgh, PA and when I viewed the home it had a sinkhole along the front yard property line. The realtor explained it was due to a broken storm drain pipe and the break was on the neighbor’s side of the property line. The neighbor refused to fix it, so the seller agreed to have it fixed as it was causing issue with the seller’s property (front yard). Six months later there is now a sinkhole in the back yard. The township said the pipe zigzags between my property line and the neighbor’s property line and they can’t force either one of us to fix it as it is private property. This sinkhole is on my property line, so I now I need to fix it. The seller home disclosure did not state any knowledge of this drain pipe or that I would have to fix it. Do I have a case for a fraudulent seller disclosure? (Jefferson Hills, PA)

A: These cases are fact driven and hard to prove, and more facts need to be known. However, it is worth a legal consultation. To prove fraud, I believe you need to prove by clear and convincing evidence that the seller knew or had reason to know of the problem you are alleging and tried to conceal it from you. It is a hard standard, but more facts are needed to determine if you have a claim.

How to get dad’s name off my mother’s house?

Q: My mom is going to pass away soon, and my dad’s name is still on the title. He hasn’t been around in 20 years. He didn’t have much to do with the payoff of the mortgage at all. I don’t even know where he is to ask him to sign the paperwork for my mother. (McKeesport, PA)

A:  The easiest thing to do would be to ask him. If you don’t know where he is start asking around-family, friends, his last employer, etc. You would be amazed what you can find on the internet. If necessary, hire a private detective or person locator. Perhaps he has grown up and will sign over the deed to make amends. If you cannot locate him or he will not do it, it is practically impossible to take the name of a property owner off a deed without their signature on a new deed, or without litigation. If he and your mother are owners as husband and wife, or legally, what they call by entireties, his share will pass to her if he would die. However, I am not suggesting that you put a hit out on him. Conversely, he will own the entire house when she passes. You may also want to check if they were ever divorced. Often in a divorce, one spouse agrees to convey title to the other in marriage settlement agreement or divorce agreement. The other option is to consult with a lawyer about a filing an action for partition of real estate. If that can be done with entireties property, the court may accept alternate service by publication if your lawyer cannot locate him. If he does not respond to the published notice, a default judgment could be entered, and his name stricken from the deed.

Can my lender sell my property and accelerate a heloc?

Q: I have been sick for over one year and my income has drastically decreased. My life is in shambles. Car was repossessed, no cable, internet or home phone, gas and electric. I have shutoff notices, but I was eligible for programs to help me. Today I opened the mail and a letter from my bank where I have a 30K HELOC is telling me they have charged off the balance on my account of $30,788.88 and accelerated this balance. Now I owe it in full. I’ve been trying to work with them for the last 6 months and have gotten nowhere. They were sending me an application for a hardship assistance, but I NEVER got them. They said it was sent twice. My main concern is if they can foreclose on my mortgage and must I pay them in full? I’m not even working, I don’t have that kind of money laying around. I am frightened and don’t know what to do, please help me, I am really scared. (Pittsburgh, PA)

A: Get to a consumer law attorney immediately. If this home equity line of credit is a lien filed on your home, they certainly can foreclose. It is my hope that a civil complaint has not been filed against you and you failed to answer it and thereby a default judgment has been taken against you. If there is time to answer the complaint, an attorney can do that which will slow the process. The creditor cannot just foreclose without filing a lawsuit against you and obtaining a judgment in court. Normally, the creditor goes after the property and does not seek a judgment against you personally, for any deficiency between what the house resells for and what you owed on the contract. However, the contract would need to be reviewed in order to confirm this. Again, look for an attorney.

Can we alter our deed?

Q: My brother and I own property as joint tenants Can I alter the deed so that my wife and I own my 50% as tenants by entirety? We are getting older and he would also like to add his wife to the deed. (West Mifflin, PA)

A: You cannot alter a deed, or just amend it by writing on it. You need to draft a new deed. I suggest you do not handle this yourself and seek an attorney. There would be an attorney fee, and a filing fee of $162 paid to the county. That is it. The transfer is exempt from realty transfer tax so there is no transfer tax to pay. Therefore, it is relatively inexpensive transfer. It would be worth a legal consultation to ensure this transfer is the best thing for all parties involved.

Borough won’t let me sell my house

Q: I am selling a rental house. The borough won’t let me sell it until I get a building inspector to check it for dye tests, taxes, etc. It is now costing me $5,000.00 more when the buyers said they would take it as is and would pay for it since I’m selling it so cheap. Can a municipal borough stop my sale and make me pay for the things before I sell the house? The borough has held us all up for three months. Is this legal when it was already checked two years before I sold? Also, my borough is deep into debt and just got a new building inspector who is a part-timer, third party paid assassin. The new owner doesn’t understand this either. (West Mifflin,PA)

A:  Generally, when you sell a home, the seller must bring the house “up to code” (safety codes to ensure there are safety violations). You can obtain a list of what the borough requires before the municipal inspector comes for his inspection. If everything is up to code before the inspection, a certificate of occupancy is issued by the borough, and there is no reason for the inspector to come back a second time. The purpose of this is to ensure that every time a house is sold it is safe in that it meets all electrical, fire and structural safety standards. Normally, the expense of obtaining the permit is on the seller. However, the seller can negotiate with the buyer to bear this responsibility. I do not know what you have negotiated with the buyer or what your sales agreement says regarding this issue, but you might want to see if the buyer will pay for this expense.

Does a home equity line of credit count as a “contract under seal” in PA act like a mortgage?

Q: Lender is considering foreclosure however no payments have been made in almost 5 years. Owner recently passed away and the beneficiaries want to keep house but the amount owed on the home equity line of credit would put the house too far under water. (Pittsburgh, PA)

A: I am not sure of the significance of “contract under seal” here. I would have to see the mortgage papers or look at the on-line docket. This sounds like an estate issue to me. If the home is in the name of the decedent, this is an estate debt and no one else’s debt. If the mortgage balance exceeds the market value of the home, the heirs must decide how bad they want to keep the home. If there is enough liquid cash in the estate, the heirs may be able to pay the lien off or interest the bank in refinancing. If not, this may be an insolvent estate and therefore let the bank foreclose. You may be able to negotiate a deed in lieu of foreclosure with the bank and avoid a messy foreclosure and more fees and charges. You need to be asking these questions to the estate attorney. If you do not have one, you need to get one.

Home is in sheriff sale for back taxes. How long do I have to vacate?

Q: My home is being sold at sheriff sale for back property taxes. How long after the sale do I have to vacate? If no one bids on the property, does the home revert to the school district? Do I own everything in the house beyond personal items (i.e. water heater, electrical fixtures, doors… etc.), can I take these items out of the property before the sale?

A: If someone buys it a Sheriff’s sale, and you are still living in the home, the new owner will have to file an eviction proceeding against you. This will give you some time. A potential buyer may try to buy it for less than taxes owed and the three taxing entities can either accept or reject the offer. If no buyers come through, you can make an offer if you really want the property. You may want to research rentals versus what you will pay the bank. If the house is sold, the house is seized as collateral for the loan and you are not personally liable unless the loan agreement allows the lender to seek a deficiency judgment against you and they are willing to pursue it. You cannot take fixtures from the house-lights, water heater, doors, etc. You can take appliances if you bought them.

Can I force a sheriff sale from the 2nd lien position on a residential property?

Q: Borrower is current on first mortgage, but over 120 days delinquent on the second mortgage. Borrower has refused a loan modification and does not wish to sell the home. There is approximately $70,000-$90,000 in home equity. (Pittsburgh, PA)

A: You cannot go right to Sheriff’s Sale. You must file a foreclosure proceeding first. Moreover, your mortgage will be second to the first mortgage holder so the first mortgage holder will need to be paid first.