Foreclosure Title Considerations

Foreclosure sales come with their own unique issues regarding a buyer’s receipt of title to the property. Some of those issues are as follows:

  • The trustee’s deed will have no warranties and will convey the property “as is“.
  • The buyer gets no better title than the trustee had to give.
  • It will typically be the responsibility of the buyer to pay the transfer fees; sometimes referred to as deed stamps. In a normal type transaction, these fees are usually paid for by the seller of the property.
  • The sale could include unpaid taxes and all prior liens on the property. Buyer is strongly encouraged to have a title search/examination done before bidding on a property on the courthouse steps.
  • Fixtures or HVAC (Heating, Ventiliation, Air-Conditioning) system might have a lien which takes priority over mortgage.
  • The neighborhood may actually have HOA defects such as restrictions, easements, and common areas being eliminated as a result of a foreclosure.
  • If there is a federal tax lien on the property being foreclosed, the IRS has 120 days to redeem the property if they were provided due notice on the foreclosure. In these cases, the buyer is encouraged to make no improvements to the property during the 120 day period.

Potential buyers should consult a real estate professional experienced in the process of purchasing properties being foreclosed.

Browse Some Charleston Areas

West Ashley

The part of the city on the West bank of the Ashley River is commonly called “West Ashley,” which is the City’s largest bedroom community and retail district and is home to the historic Ashley River plantation district. The West bank of the Ashley River is also the original birthplace of Charleston, as celebrated at… Read More

Mount Pleasant

With the third largest population among the municipalities of Greater Charleston (5th in the state), Mount Pleasant is arguably the most popular bedroom community in South Carolina. With the major container ship facility at the Wando Port and tourism providing the bulk of its industry, most Greater Charlestonians would agree that the real business of… Read More

Johns Island

Located a 15 minute drive from downtown Charleston via West Ashley and over the Stono River lies Johns Island. This island is the second largest island on the eastern seaboard next to Long Island, NY. It can be described as the least developed land mass in the Charleston area. The locals of Johns Island are passionate… Read More

Seabrook Island

Seabrook Island has got to be Greater Charleston’s most enigmatic community. It is a true resort community known best for being Kiawah Island’s next door neighbor and is one of the most internationally recognized Islands in South Carolina, yet it’s not even an island, and though it’s a fully guarded and gated community, it’s also… Read More

See More Charleston Areas