Legal Question in Real Estate Law in Iowa
I am looking into purchasing a forclosed home and was wondering if there was leans against the property or house who is responsible for the payment of the leans. Will they be taken care of by the owners of said property or would i be exspected to take care of them
2 Answers from Attorneys
The liens become the problem of the owner of the house. What you ought to do is check the court files for any pending legal actions against the new or former owners or against the bank concerning that property, and also check with the clerk of court and/or the county recorder to determine whether there are any pending actions or liens. If you know about them, then you can negotiate.
If it's a good deal it may be worth the money to consult with one of the abstracting companies in the county and have them perform this service for you.
I would highly recommend hiring an experienced real estate attorney to assist you with this transaction. Sure, you can "check the records," but if you are not absolutely certain what it is you are looking for (and looking at), you could very well purchase a property with outstanding liens or other title problems.