Madison WI, Real Estate and Residential Rental.
Posts tagged FSBO
The Title Company, a necessary evil?
Jan 13th
Maybe this only happens to me, but every once in a while people will get down on the title company, calling them vultures of the real estate industry with their nickel and dime fees, added costs and perceived bureaucracy. I had never called them all those names but they do sell title “Insurance”, which as Ned Flanders the devout Christian on “The Simpson’s” will tell you is a form of gambling. Title Insurance as we know it today replaced the previous practice of a lawyers review of a properties abstract. So let me tell you what I just did. At the advice of several folks in the insurance, tax and real estate industry I am transferring ownership of the two rental properties my wife and own to an LLC. Anton Homes LLC to be exact. The quit claim deed can be used in this circumstance. It allows and individual to transfer whatever right they have, limited or total, whatever they are to another party. As Sandy and I will transfer it to ourselves, we did not need a title search or insurance, just a deed with our signatures, and our signatures.
Simple, Right? Wrong, you forgot about the government and taxes. We will not be taxed on the transfer as we are married but are still required to file a transfer return. This tedious process can only be done on-line and was clearly not designed to be consumer friendly. It was ridiculous. I gave up 2/3rds of the way through and called Jeanie the title lady. It was that poorly designed difficult to work with. So while a title company does have all sorts of fees and costs and perceived layers of bureaucracy, they also specialize in dealing with and creating a buffer between the consumer and other agencies, governmental and/or financial that have even greater costs, fees, and countless layers of bureaucracy.
I’d Be Happy To Help
May 11th
I would struggle to make something more convincing up. I present for your consideration…
Hi Ben,
I am done messing around with FSBO. Would you be my agent? I have it listed at ——. I need to sell it for —— to pay off the mortgage and pay 6%. The latest tax assessment came in at ——.
Thanks,
T.T.
I almost choked on my English muffin when I read this the first time. I could see the face and hear the voice of the sender as I opened the email and read. She is a new friend/contact but someone I felt I could work well with. We had joked a bit regarding he desire to sell her home on her own when we last spoke. I understand, money is important and best when kept. Even I might try the for sale by owner route first. I am here to help, now or later. That being said, don’t wait too long to try another route should your plan A not go well. The longer you wait to change directions the further from your destination you will be.
