Wednesday, April 22, 2009
Edith Lank :: Townhall.com Columnist
Mortgage In The Records
by Edith Lank
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Dear Edith: I never miss your column. The mortgage on my home has been paid off for over 20 years. I am not trying to sell my property at this time, but may next year. It has come to my attention that no papers were filed with the county clerk to indicate the mortgage was satisfied. The original company is out of business, and the mortgage was sold at least twice before I paid it off. Is this a problem I should look into further or is it OK to just leave well enough alone? -- L.

Answer: How come you didn't follow my advice 20 years ago? I always urge homeowners to keep after their mortgage companies until a payoff is entered in the county's records. It would have been easier to accomplish in the first place than it will be now.

Nothing bad will happen if you ignore the matter, until you try to sell your home. Then the buyer will learn the records show a big debt out against the property. That could hold up a closing. You might as well contact a lawyer and start the clearing-up process now.

Replacing Cabinets

Dear Edith: In response to the person who asked about replacing built-in cupboards. We had the same in our house, which was also 50 years old. We looked into buying new cupboards, but they were not put together as well as our built-ins. So we painted the cabinets, put on new hardware and replaced the counter top. It looks like a new kitchen. -- A.M.R.

Only Child Inheriting

Dear Miss Lank: When I pass away, I would like to leave my house and property to my only child. What does this entail and how does it work? Would he have to refinance or what? -- E.L.

Answer: When real estate is inherited by a family member, lenders do not usually call in the loan.

It's a simple matter to have a lawyer draw up a will in which you state what you want done with your property. If you are married, things may get a bit complicated, because a surviving spouse is usually entitled to a share of the estate. The lawyer can explain that.

Lots Of Ads

Dear Edith: I have advertised my home for sale in the newspaper and online in at least 10 sites including Realtor.com and had only a few inquiries but no follow through. We paid $249,900 and put $35,000 into it in the last eight months of ownership so that it is "turnkey." In order to sell my home how low do I have to go? -- Via e-mail

Answer: You'll have to go however low it takes to attract buyers.

The figures you gave me don't mean a thing. It's no use basing your asking price on how much you've invested. Suppose you originally overpaid by $50,000? Must a buyer to make that up to you? Suppose you received the place as a gift? Must you give it away? Continued...

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Edith Lank is an authority on housing issues.

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