Ilsa and Floyd Wanted to Payoff Their Home
You would think it would be simple. Ilsa and her husband, Floyd, purchased a home on a contract for deed and made payments for several years without incident. Floyd became ill, and the couple decided they wanted to pay off the house before anything happened.
They tried to contact the seller who finally replied and told them to contact his attorney. They were unable to reach him because of a language barrier.
Ilsa did some research and found that while the taxes appeared to be up to date, there seemed to be some sort of loan or lien on the home. She tried to contact the owner and the attorney, but they were never able to get a reply. Nervous, with Floyd getting sicker, they came to Legal Aid for assistance.
Legal Aid of NorthWest Texas took the case to investigate. Legal Aid determined that there was no language prohibiting an early pay-off of the contract, and no penalty for doing so. Legal Aid contacted the owner's attorney, but he said he didn't represent the owner anymore. Legal Aid investigated and determined that taxes were current and that the liens had been released the year before so that it appeared the owner did have clear title.
Legal Aid negotiated with the owner and set up a transfer of the property. The client paid off the house, received a general warranty deed, and filed it, all on the same day. Legal Aid recorded the deed and applied for the homestead exemption for the client.
Sadly, Floyd passed away before the transaction could be finalized. But it was his last wish that Ilsa have the house free and clear, which she now does. Ilsa has stable housing, the homestead exemption for tax purposes. Legal Aid also prepared an estate plan for Floyd before he passed away so that the estate passed to her and she doesn't have to worry.
They tried to contact the seller who finally replied and told them to contact his attorney. They were unable to reach him because of a language barrier.
Ilsa did some research and found that while the taxes appeared to be up to date, there seemed to be some sort of loan or lien on the home. She tried to contact the owner and the attorney, but they were never able to get a reply. Nervous, with Floyd getting sicker, they came to Legal Aid for assistance.
Legal Aid of NorthWest Texas took the case to investigate. Legal Aid determined that there was no language prohibiting an early pay-off of the contract, and no penalty for doing so. Legal Aid contacted the owner's attorney, but he said he didn't represent the owner anymore. Legal Aid investigated and determined that taxes were current and that the liens had been released the year before so that it appeared the owner did have clear title.
Legal Aid negotiated with the owner and set up a transfer of the property. The client paid off the house, received a general warranty deed, and filed it, all on the same day. Legal Aid recorded the deed and applied for the homestead exemption for the client.
Sadly, Floyd passed away before the transaction could be finalized. But it was his last wish that Ilsa have the house free and clear, which she now does. Ilsa has stable housing, the homestead exemption for tax purposes. Legal Aid also prepared an estate plan for Floyd before he passed away so that the estate passed to her and she doesn't have to worry.
