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Can I retain the services of a lawyer ?
Anonymous6 views3 answers
On July 28th I put in an offer on a home, tentative closing date of 8/28/15, one week beforehand it was discovered an inheritance tax lien was held on property. An extension was signed for 9/26/15, I have been told yet again there will be a delay in closing. I am facing paying an additional months rent, storage fees and a possible rate increase as my rate lock expires 9/29/2015. My local credit union is refusing to close without a clean title. Do I have any recourse? A reduction in price is not an option per my realtor.
Your question is not really about estate planning. It is about real estate, and whether you have recourse against the seller. You would need to consult a real estate attorney. Your rights all depend on the provisions of the purchase and sell.
It would appear that the inheritance tax lien was discovered on or about 8/21/15. Given that date, it would be only in the most unusual case that the lien could not be discharged before 9/29/15. Under normal circumstances the Estate Tax Section at the Division of Taxation will process a return while you wait and it is the filing of the return that will generate the release of the lien. It is possible that the delay could be caused for different reasons, i.e. the Seller is having difficulty getting the information needed for the return or the size of the decedent's estate is such that a tax is due and they don't have sufficient funds to pay it. In any event, all of this is just speculation without more information. Your closing attorney should be able to find out more about the reason for the delay. Ultimately, I am sure your goal is to close on time, but if Seller can't convey clear title your P & S probably says that you are entitled to your deposit back.
I agree with Attorney Cross-your choices depend upon the consequences that are stated in the contract.
Have an attorney explain them-it might be time to cancel or renegotiate.
