Legal Question in Real Estate Law in Georgia

Buying Land in Sardis Georgia

I gave a $500 deposit for land to a person who is selling 1/2 acre of land. We signed a contract to retain title until it is paid off @ $125 per month. Is this ok?Legal? I own it? who do I know it will be mine after I pay off the amount? How do I know if he really owns it? I guess I can't get title until it's paid off, but do I put it on my taxes?


Asked on 11/14/07, 3:15 pm

2 Answers from Attorneys

Robert Thompson J. Robert Thompson Attorney

Re: Buying Land in Sardis Georgia

Yes, it is legal, but it leaves you at risk. You have only a contractual right to receive a deed when the price is paid, not legal ownership; and the seller is free to sell to anyone else, unless your "contract" is in proper form and recorded in the deed records. (You could sue him, but he may have disappeared.)

Worse, his creditors can place liens superior to your claim, while the payments are being made.

You have a legal right to receive a deed when the price is paid, but, again, if he takes your money and disappears, your only remedy is a complicated and expensive lawsuit.

As to whether he really owns it, you should have done a title search before you bought the property--you can still do this by searching the county property records.

I don't quite know what you mean by "put it on my taxes"--you have a sufficient interest in the property to deduct property taxes if you pay them, and you MAY be able to deduct interest (consult your tax advisor).

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Answered on 11/15/07, 10:44 am
Scott Riddle Law Office of Scott B. Riddle, LLC

Re: Buying Land in Sardis Georgia

You are asking questions about documents no one here can see. Have a real estate lawyer review the documents.

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Answered on 11/14/07, 3:44 pm


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