Even if it is a zombie title, the mortgage lien still exists atop of the tax debt, so if you go forward you will have to pay off the taxes and finance the mortgage in your name (or make a deal with the lender to release the lien) BEFORE you can record the quitclaim and title in your name. If the house is worth far more, go for it (after researching more). If the value is nominal, you might want to pass.
You will need a quitclaim from both owners, if you opt to go forward.
It sounds very shady to me! I would keep digging and asking questions about this property. Maybe the "owner" really isn't the legal owner anymore. I would get in touch with the bank that is owed the money and find out what happened with that, and not just take the word of the "owner' about what happened with that loan, but I would definitely ask them both and see if the stories match up. Don't let anyone stick you with debt or try to rush you into a bad situation. Get everything in writing to make it all nice and legal if there's trouble down the line. Be suspicious!
Personally, I'd ask the current owner to split the cost of a title search with me or I'd outright ask for them to spring for it. I'd word it as "The history on this house seems to be a bit murky. I can't take it unless I know it has clear title and what the lien situation is."
If the owner balked, I'd walk away. I don't want to be stuck with $100,000 in unpaid mortgage and legal fees plus contractor liens.
actually there isn't anything exist with the name of zombie but you can name it because of mysterious facts you've faced . but my suggestion is find a way to grab the loan and escape( from somewhere narrow of course) and don't think to this premise furcher !
if this is quit claimed to you you will owe all the taxes that are not paid as well as any in the future
if there is a mortgage on the property, the one who is liable for the mortgage remains the liable for it, it does not automatically revert to you with a quit claim deed
why the bank has not foreclosed is a problem the bank has, possibly they already have a huge inventory of foreclosed homes they can't sell
Hello I'm new here. I have a situation where I have been overseeing a property in Memphis, Tennessee that has a significant amount of tax debt. Anyways, one of the owners of the property has given me the go-ahead to care for the home. The other owner wants to Quit Claim their interests over to me. The problem is that after doing a little research on the property, I have noticed that there has been a loan on the property for $54,000 that was made in 2003; had a maturity date of 04/2006. What I'm confused about is why hasn't the bank taken possession of the home after 5-6 years? Do you think I should deal with this home? Do you think that this is a case of the "zombie titles" that are becoming more common?
