Legal Question in Real Estate Law in California
Grant Deed error
After we bought our house I got the grant deed in the mail showing the lot number to be 86, but according to the parcel map, it should be 68. My question is would there be a problem later when I sell my property?
I also noticed that the pyhsical address was not in the description of the property.
So, I contacted the title company about the error, but they said something about title insurance and legal description are for lot number 86. Another word, they would not do anything about it. I am wondering if it is worth the effort to straighten out the lot number now? How should one go about doing it?
We did not catch the error during the escrow process because the map we got was illegible. If I contact the owner now to redo the grant deed, he will probably claim he is no longer the grantor. So I think it is too late for that. What do you think?
5 Answers from Attorneys
Re: Grant Deed error
If you cannot resolve this by letters to the seller, the brokers in the transaction and title company, a lawsuit should be filed for reformation of the grant deed and reinbursement of costs of suit and attorneys fees against the parties which caused this problem. Our firm handles cases throughout California. Please contact us if you have any other questions.
Re: Grant Deed error
You had better do SOMETHING to insure that you obtained title to the correct proeprty! If, for instance, there is a lot 86 that belongs to someone else, you can be held to be slandering their title. If you had an escrow, call them immediately; likewise, if there was a real estate agent involved! With respect to the seller, he should be able to confirm what lot number corresponds to the street address; where did you get the parcel map that says it should be lot "68"? Usually, your title policy will have a copy of the parcel map which includes the property in issue attached to it; does this say "68" or "86"? It will only complicate matters to do nothing, as the problem will not go away and will resurface if you ever want to sell the property, or get a loan on it.
Re: Grant Deed error
Why won't the grantor agree that he is the grantor? You may contact me. You may have a big problem. I would need to see the documents. I do real estate law.
Re: Grant Deed error
I think this is a medium-serious error, one that is not necessarily fatal to your ownership of the correct parcel, but certainly an error that is easier to rectify now than, say, a decade later.
I think the attitude taken by the title company is callous and indefensible. More likely than not they caused the mistake, and if they didn't they were at least responsible for catching it. Did you get a preliminary title report from them? How is the property described there?
Beofre hiring a lawyer, I would go up the chain of command at the title company, demanding some effort on my behalf.
Is there a lot 86? The mistake could cause some confusion for its owner as well.
I see no reason at all why the seller should be unwilling to give you a correct deed, especially if it is a quitclaim. You, the seller, the title company and the real-estate brokers involved on both sides should all get together and figure out how to execute, deliver and record a corrected deed, and perhaps expunge the erroneous deed.
If necessary, you can resort to a court to have a deed corrected. At this point, that should be unnecessary.
Needless to say, you should double- and triple-check to make sure the deed is in fact in error. There is always a possibility that it's correct and whatever you're relying upon to believe it's erroenous is itself erroneous and the deed is not.
Re: Grant Deed error
I would need to see all of your sale and purchase documents, as well as the preliminary title report. If the prelim shows the sellers name attached to the correct lot description, but they later transposed the lot number, they would have responsibility to correct the mistake.
Let me know if you need help.