Legal Question in Real Estate Law in Texas

A lot was left off my deed. I didn't find out about it until almost a year later. The previous owners have already signed a new deed with the lot that was left off. However, before it can be switched in my name I have to pay $2500 in last years taxes ($500 of which is late fees). I didn't even move into the house until Sept. 25th 2014. Why am I responsible for all of last years property taxes and the late fees which wouldn't even be there if the deed was filed correctly the first time. The realtor, selling agent, nor the title company caught the mistake.

The selling agent was unaware the house sits on 2 lots. No document (the sales contract, deed, nor appraisal) explicitly lists lot 12 on it, thus my title insurance won�t cover lot 12. It was clearly meant to be sold with lot 13 because the MLS has pictures of lot 12 and the carport which sits on lot 12. The .53 acres listed in the MLS & appraisal is the acreage of both lots combined. It is one fenced in property. The appraisal also lists the carport which is on lot 12. Title Company says they are not at fault because their documents are created based on the MLS listing which the selling agent created.


Asked on 9/11/15, 6:18 am

1 Answer from Attorneys
Joseph A. McDermott, III Attorney at Law

WHY DIDN'T YOU GET A SURVEY? Ok, that's just my frustration with people buying real estate without consulting the appropriate professionals. No one inexperienced in real estate should ever proceed without a lawyer. It's a big investment and worth a few hundred bucks or more to make sure it's done right. My thoughts on your situation: First of all, there's not enough money involved here to make it worth suing anyone. Second, your contract likely requires the taxes to be prorated so, IF we decide the contract covers the missing lot (an iffy proposition, since the lot is not in the contract), then the seller might be responsible for the prorated taxes on lot 12. Third, it is technically not the case that the lot can't be "switched" absent payment of the taxes; however, you take title subject to the tax liability which is in practice the same thing. Fourth, the selling agent's claim of ignorance is a bit suspect. If he's been doing it very long, the disparity between what he saw on the ground and the acreage in the listing, on the one hand, and the amount of land set out in the deed and title commitment should have been apparent to him. Fifth, ditto for the title company, if it was relying on the MLS listing. Sixth, since you mention an appraisal but didn't hire a lawyer, I'm assuming you used a lender to buy the property. I don't see how the lender and its lawyer didn't catch this either or why there wasn't a survey as lenders invariably require one Unless there are other facts you don't mention, I think there's a decent chance a lawyer could squeeze the money out of the selling agent and/or the title company without suing, but you'd only recover part of it, as no lawyer will work for free.

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Answered on 9/11/15, 9:10 am


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