I have to tell someone... finally under contract on a farm! 8 months later, it’s ours!

[Texarkana]

@enjoytheride

Ewwww. That’s not how it works here.

That’s not how it works anywhere. This is any atypical situation. We knew there was a legal issue from the start, but it is FAR worse than anyone could have anticipated (except the sellers who got themselves into this financial mess).

The sellers team is as frustrated as ours at this point.

ETA: in case anyone is confused, because I keep sharing half the situation on this thread and half on the off topic real estate woes thread—

A ton of new lien holders have staked claim to the house (in addition to the ones we knew about from the start) and the sellers have now started bankruptcy proceedings. The title can’t be transferred to us until all those liens are resolved, but there are a ton of them for an astronomical amount of money. So that’s where we are at.

[Where_sMyWhite]

@Texarkana big hugs if the dang emojis would work.

Sounds like finding another buyer wouldn’t be easy either. Can you amend your offer to drop the price due to the hassle?

[mommy_peanut]

That really is a lot of BS to have to keep navigating around.
((Hugs)) & hope you get some resolution quickly

[Texarkana]

@Where_sMyWhite

Sounds like finding another buyer wouldn’t be easy either. Can you amend your offer to drop the price due to the hassle?

Thanks. The sellers have nearly $1M in unpaid debts. The court set a minimum the house can be sold for (which doesn’t even come close to covering the debt). So, that’s a round about way of saying no.

Also, I’m told any lien holder can basically cancel the sale if they don’t like the terms. With so many of them (15+ in addition to mortgage and taxes), we don’t even want to go there.

Our realtor was trying to get us a small credit for the hassle and we told her don’t even bother. Every change has to be approved by 2 trustees and 2 judges now and it takes forever. I’m willing to fight over the outbuildings because they broke contract and I think (hope) we will win that fight on some level. It’s a huge expense. I’m not as confident they would reduce the price because of their hold ups.

[Where_sMyWhite]

{{ @Texarkana }}

[fourfillies]

I am so sorry. So frustrating and disappointing. We got involved in a farm purchase and discovered the sellers were tettering on bankruptcy and selling to try to avoid the house being part of the settlement. There were three liens our attorney found and he advised we walk away. Not b/c of the three (which weren’t huge) but b/c of the hassles of working with the title company to get title insurance and the unknowns that would file after our accepted offer but before settlement.

[awaywego]

What’s happening with your landlord @Texarkana? I may have this situation confused with someone else on the real estate thread but what is the status of your lease? Is your landlord working with you given the uncertainty?

So sorry this has turned into an ongoing nightmare for you. This is 100x worse than making an offer that isn’t accepted - this time you really had every reason to believe you would be living there by now

[Texarkana]

@fourfillies I’m sorry that happened. It sounds like a similar situation, on a smaller scale. We have been advised to walk away, too. If the inventory situation changes, we will be make the decision whether or not to do that. But I’m not exaggerating when I say there is literally nothing else on the market right now.

@awaywego That is all in flux at the moment. It’s another stressor, especially since it doesn’t just involve my family, it also involves finding a place for the horses.

[Texarkana]

@clanter

hey that’s the same with the property next door to me … been vacant for nine years… every time I cut my front yard at least one person stops to ask if that house is for sale… well, not really as it is tied up as collateral in business loan of $1.5m.

That house and fifteen other properties the guy owns were pledged to back a business loan, then the company died. The income from the rental properties does produce enough to make the loan payments but the lender will not do a particle collateral release (as two purchasers found out during an attempted closing) …so it is empty and partially remodeled

That’s wonderful news. Is my sarcasm coming through?

I’m hoping that either they will quickly get the liens taken care of in the bankruptcy court like they are supposedly trying to do, OR properties in my area will start coming on the market again.

[Simkie]

Were you ever able to retain a real estate lawyer here, Tex? You should really have someone advocating for you and representing your interests with the courts. A sharky attorney might be able to make things happen?

[Texarkana]

@Simkie

Were you ever able to retain a real estate lawyer here, Tex? You should really have someone advocating for you and representing your interests with the courts. A sharky attorney might be able to make things happen?

We’re working on that…

[lenapesadie]

My pops bought a vacant lot down the street from his business complex in late 2019 early 2020 best I remember. He got an offer he couldn’t refuse and just sold, at an astronomical profit. He’s relieved he doesn’t have to worry about building on it or managing any more employees

[Montanas_Girl]

Holy moly, @Texarkana. What a saga. I’m so sorry you’re still dealing with this mess.

[Texarkana]

Good news: the judge has ratified the sale! “Only” took 100 days.

Bad news: that means absolutely diddly squat at the moment because they can’t get the liens off the title. They are “working on it.” They asked for patience.

But I’m encouraged enough I made my first new home purchase: jetted tub cleaner. I don’t have a jetted tub in my current house so hopefully I didn’t pour $16 down the (tub) drain.

[Simkie]

Hooray! Progress!

[lenapesadie]

Hopefully you will continue to get more positive updates

[beowulf]

Holy crap where have I been that I only just now came across this thread?

What a nightmare. Jingling for continued progress and good updates. Also jingling those sheds magically reappear…

[Texarkana]

@lenapesadie

Hopefully you will continue to get more positive updates

It’s been a good news/bad news kind of week.

Good news is we aren’t going to be homeless June 30. We can stay put until this is resolved. Although that good news came with some bad news which I’ll spare y’all. But it’s overwhelmingly good news. And hopefully only temporary annoyances since maybe this will be resolved in the foreseeable future.

The sellers’ realtor told us we will know a timeline by the end of the week. I thought that was a hilariously confident and optimistic statement given that it’s already Wednesday. If I’ve learned anything from this situation it is that getting a simple answer from trustees or courts takes at least 1-2 weeks. I’m sure it will be the middle of June before we receive the official answer of “we don’t know how long it will take.”

[lenapesadie]

Thank god you’re able to stay in the rental for now. What a relief.

I’m not on the up and up regarding BK proceedings but it seems like that once the judge determines the proceeds to be obtained from the sale of assets (your new farm) that they would be able to say this is going to that creditor etc and be able to get the title clear so those creditors can get paid. Hopefully it won’t take too much longer.

Continued jingles and finger crossing

[Texarkana]

@lenapesadie

Thank god you’re able to stay in the rental for now. What a relief.

I’m not on the up and up regarding BK proceedings but it seems like that once the judge determines the proceeds to be obtained from the sale of assets (your new farm) that they would be able to say this is going to that creditor etc and be able to get the title clear so those creditors can get paid. Hopefully it won’t take too much longer.

Continued jingles and finger crossing

I’m getting a crash course in bankruptcy; I don’t fully comprehend most of it.

But your understanding is similar to mine. I think stuff goes to the auditor now who sends a report to the bankruptcy trustee (???). The problem is the value of the sale is considerably lower than the total debt against the house. So I don’t know what happens to resolve that. The trustees made it sound like some sort of court order may be able to be written to clear the title? But I never heard any more about that.