Frequently Asked Questions.
THE INFORMATION CONTAINED HEREIN IS PROVIDED FOR INFORMATIONAL PURPOSE ONLY. IT IS NOT INTENDED AND IS NOT TO BE INTERPRETED OR USED AS LEGAL ADVICE. EACH LEGAL PROBLEM IS UNIQUE; THEREFORE, CASE SPECIFIC LEGAL ANALYSIS BY A LICENSED ATTORNEY IS RECOMMENDED.
What mortgages survive a tax deed?
Mortgages in favor of the Federal National Mortgage Association (“Fannie Mae”) and likely Federal Home Loan Mortgage Corporation (“Freddie Mac”). Rust v. Johnson, 597 F.2d 174 (9th Cir.). Mortgages in favor of or in receivership of the Federal Deposit Insurance Corporation (“FDIC”). Cambridge Capital Corp. v. Halcon Enterprises, Inc., 842 F. Supp. 499 (S.D. Fla. 1993). Mortgages in favor of a municipal or county governmental unit, special district, or community development district. F.S. 197.552.
What liens survive a tax deed?
Any liens in favor of a municipal or county governmental unit, special district, or community development district. F.S. 197.552. These are typically lot clearing and code enforcement liens.
Do utility bills survive a tax deed?
Typically, yes, especially if such bills are in favor of a municipal or county governmental unit, special district, or community development district. F.S. 197.552. Moreover, utility bills likely survive even without a lien or other notice being recorded in the public records. See F.S. 695.01(3). This can be significant – I once bought a vacant lot for $34,000 only to find out that the city claimed in excess of $45,000 for unpaid water utility without there being any notice, like a lien, in the public records.
Do Federal Tax Liens survive?
No, but with a caveat. Statutorily the US government has a 120 days to exercise a right of redemption. However, in close to 10 years I am yet to see Uncle Sam exercise that right. For all practical purposes, Federal Tax Liens typically get wiped out during the quiet title lawsuit by the US attorney filing a disclaimer of interest.
What are the typical costs associated with a quiet title lawsuit?
A court filing fee: $401; Summons issuance fee: $10.00 per summons; Service of process fee: $35-95 per defendant depending on the location; Title Search: $100.
How long does a typical quiet title lawsuit take?
If everything goes according to plan, it can take as little as 60 days. For this to happen the lawsuit will have to be uncontested and all defendants need to be easily found. In the event, that one or more defendants cannot be located, it will take at least an additional 30 days, which is the time that the publication needs to run.