Austin TX Real Estate - Hill Country Austin Lakeway Homes for Sale: You Might Have to Jump Through Hoops to Close the Deal

You Might Have to Jump Through Hoops to Close the Deal

I have a closing tomorrow... well, I have four closings, but this one in particular has been interesting.  The seller is a "Living Trust" with a trustee signing the documents. No problem, right?  Well... only one of the parties is still living. What happens to a Living Trust if not everyone is living anymore?

The Trust states what happens to everything and how things should be handled.  The trust, because it encompasses more than just real estate, is very long and private. The title company was demanding the entire trust to clear title. 

Behind the scenes, the trust was selling the primary residence at the same time, both in Texas, but 3 hours away from each other so completely different markets. Title company A accepted a notarized affidavit stating what the trust says so the entire private Trust didn't have to be handed over, in addition to the pages referenced in the affidavit. Title company B would not accept such a notarized affidavit. They really really had to have the entire trust. Why?  Round and round for about three weeks.

Did I mention that Title company B is the "parent" company of Title company A? If it's good enough for the child, why isn't it good enough for the parent, who uses the same Underwriters??

My seller, after several conversations with her attorney, reluctantly turned in the entire Trust just to get this closed tomorrow, but there has to be a better way to allow people to retain their privacy in situations like this. If you're looking to sell properties from a Trust, a Divorce, a Probated Will, or anything that isn't "normal", be prepared to put it all out there to clear the title.

**Are You Packed Yet?**

donna harris Realtor Austin TX blog

Donna Harris, REALTOR®
RE/MAX Austin Skyline
www.DonnaHomes.com
Donna@DonnaHomes.com
austin-texas-homes-for-sale.com

Austin TX Real Estate

and the surrounding areas of Lakeway, Bee Cave, West Lake Hills, Cedar Park, Round Rock, Spicewood, Circle-C, Steiner Ranch, and everywhere in between... Hill Country Austin TX Real Estate and beyond. Whether you're buying or selling an Austin home, I'll be with you every step of the way. 

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Copyright© 2011 By Donna Harris, All Rights Reserved. You may re-blog with links back to this post.
*
You Might Have to Jump Through Hoops to Close the Deal * was first published on donnahomesblog.com.

 

Comment balloon 7 commentsDonna Harris • August 29 2011 07:05PM

Comments

Donna - that is strange that the parent company wants everything while the child company is accepting a notarized affadavit.  With regard to what happens when all the original trustees have died, part of it would depend on the statutes, and part on how the trust was designed.

Posted by Steven Cook (No Longer Processing Mortgages.) almost 9 years ago

Donna

The trust should specific terms and conditions in it and your sale should come under those conditions.

Good luck and success.

Lou Ludwig

Posted by Lou Ludwig, Designations Earned CRB, CRS, CIPS, GRI, SRES, TRC (Ludwig & Associates) almost 9 years ago

Donna, 

The only thing that I have realized recently is that NOTHING is NORMAL!  It's all pretty adventurous just to get to closing these days. 

All the best, Michelle

Posted by Michelle Francis, Realtor, Buckhead Atlanta Homes for Sale & Lease (Tim Francis Realty LLC) almost 9 years ago

Very strange!  But, I agree with Michelle ... nothing appears to be normal these days.  I hope all goes well!

Posted by Lisa Dunham, Associate Broker, Alexandria Virginia Real Estate almost 9 years ago

Steven, Yes, the trust would spell out what happens, and that's the problem the title company has is that they don't want to be told what happens, but they want to be able to read what happens.

Lou, Everything is spelled out.

Michelle, Very true!

Lisa, Thanks!

Posted by Donna Harris, Realtor,Mediator,Ombudsman,Property Tax Arbitrator (Donna Homes, powered by JPAR - TexasRealEstateMediationServices.com) almost 9 years ago

You have to love when basically the same person gives two people different answers to the same question.





Posted by Respect Realty LLC, Brokers - Oregon / SW Washington Real Estate (Respect Realty LLC) almost 9 years ago

Nothing EVER surprises me about this business. Never a dull moment. Congratulations on all your sales.

Posted by Robert L. Brown, Grand Rapids Real Estate Bellabay Realty, West Mic (www.mrbrownsellsgr.com) almost 9 years ago

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