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Wanting to get out of owner finance situation

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jcarr492

Junior Member
What is the name of your state? Texas

We leased the house for a year, were on time with payments. This house has 4 owners, two married couples..one couple that are real estate lawyers and the other couple that are in to real estate and have their own insurance agency. Mr. B(ins. agent and r.e. agent) called us all thru february 06 to see if we wanted to close on this house with our down payment. So we did in march. Nothing was ever told to us before signing..like it would be in your interest to hire a home inspector and the only thing he told us about the house was that the roof over the kitchen and utility room were new from torrential rains a couple years ago. Since signing the "deed of trust" and "warranty deed of real estate lien" and something else I'm not recalling at the moment, things have been rearing their ugly heads. Bees for instance. Come to find out, there are bee combs inside the walls upstairs and they returned this year. We didn't even know what a home inspector was since we've never bought a home before. Ignorance on our part I guess. We took them for what they told us. There is extensive termite damage on the outside of the home and underneath on the beams. Not to forget the bees. We ran in to the lady that rented this house for several years before we moved in and she told us when our town had the torrential rains, not only did the roof give way(thats why they were replaced) but there was 15" of water that came into the house..so it was flooded. Isn't this failure to disclose? When we asked if we could carry our own homeowners insurance policy with someone else, they told us no...we had to use who they provided..which happened to be the insurance from one of the owners. Shock. and no flood coverage is listed on it. He told us the wiring was checked out before we moved in and was all ok. but we found out that 5 rooms are all connected together on one circuit switch..so the breaker switch keeps tripping contantly. When I called one of the owners(wife lawyer) she said she had no knowledge of the bees and we bought the house as is so it is our problem. But if the other owner KNEW about the bees and never had them removed, isn't it still their problem? Also, we had a bad rain yesterday and the new roof over the utility room is leaking in 4 spots now. The whole yard flooded...flooded so bad that the water reached the top of our steps and was touching the house literally....none came in..but we were close to having it come in. The piping yard next door built up their yard about 4 layers over the year and we got all their run off..so our yard was the first to flood in the neighborhood yesterday...I took pictures. My husbands car was flooded with a couple inches of water in it until he could get it to higher ground. We want to just chuck this place. We are no longer interested in buying it and just want them to keep the 1100.00 down payment and sell it to some other shmucks. But we want to know what can happen of we just go to them and tell them we are moving out in 30 days..this way they have the option to list it and sell to someone else. Or would they take us to court over this? They have several homes here that they owner finance and several people have moved out on them and a couple have been evicted and nothing ever happend to them. My sisinlaw and her husband were one of them. Any advice?
 


PghREA

Senior Member
jcarr492 said:
What is the name of your state? Texas

We leased the house for a year, were on time with payments. This house has 4 owners, two married couples..one couple that are real estate lawyers and the other couple that are in to real estate and have their own insurance agency. Mr. B(ins. agent and r.e. agent) called us all thru february 06 to see if we wanted to close on this house with our down payment. So we did in march. Nothing was ever told to us before signing..like it would be in your interest to hire a home inspector and the only thing he told us about the house was that the roof over the kitchen and utility room were new from torrential rains a couple years ago. Since signing the "deed of trust" and "warranty deed of real estate lien" and something else I'm not recalling at the moment, things have been rearing their ugly heads. Bees for instance. Come to find out, there are bee combs inside the walls upstairs and they returned this year. We didn't even know what a home inspector was since we've never bought a home before. Ignorance on our part I guess. We took them for what they told us. There is extensive termite damage on the outside of the home and underneath on the beams. Not to forget the bees. We ran in to the lady that rented this house for several years before we moved in and she told us when our town had the torrential rains, not only did the roof give way(thats why they were replaced) but there was 15" of water that came into the house..so it was flooded. Isn't this failure to disclose? When we asked if we could carry our own homeowners insurance policy with someone else, they told us no...we had to use who they provided..which happened to be the insurance from one of the owners. Shock. and no flood coverage is listed on it. He told us the wiring was checked out before we moved in and was all ok. but we found out that 5 rooms are all connected together on one circuit switch..so the breaker switch keeps tripping contantly. When I called one of the owners(wife lawyer) she said she had no knowledge of the bees and we bought the house as is so it is our problem. But if the other owner KNEW about the bees and never had them removed, isn't it still their problem? Also, we had a bad rain yesterday and the new roof over the utility room is leaking in 4 spots now. The whole yard flooded...flooded so bad that the water reached the top of our steps and was touching the house literally....none came in..but we were close to having it come in. The piping yard next door built up their yard about 4 layers over the year and we got all their run off..so our yard was the first to flood in the neighborhood yesterday...I took pictures. My husbands car was flooded with a couple inches of water in it until he could get it to higher ground. We want to just chuck this place. We are no longer interested in buying it and just want them to keep the 1100.00 down payment and sell it to some other shmucks. But we want to know what can happen of we just go to them and tell them we are moving out in 30 days..this way they have the option to list it and sell to someone else. Or would they take us to court over this? They have several homes here that they owner finance and several people have moved out on them and a couple have been evicted and nothing ever happend to them. My sisinlaw and her husband were one of them. Any advice?
You leased the home for a year before buying it in March - Did you notice any of these problems before? The electrical problems you should have known about and the bees and the water problems should have surfaced sometime during the time you were leasing the home.

You now OWN the home. So if you just leave and quit paying the mortgage, you face foreclosure from the owners/mortgage holders. This is not good for your credit.
Put the home on the market and sell it. In your case, you should hire a Realtor to handle it for you so that all the disclosures and paperwork is done properly. Pay off the mortgage with the proceeds of the sale and move on.
 

jcarr492

Junior Member
yes, we noticed the bees last year and called Mr. B about them and he sent out the local exterminators on them. they dusted for them and sealed a crack they were getting in to..but thats all that was done. nothing more.

We didn't have a water problem since we've been extremely dry for over a year...little rain here and there..but nothing that showed its problem till this past weekend with the thunderstorms we've had. Yes, we noticed the breaker kept tripping and would go flip the switch, but thought we just had somthing plugged in where it shouldn't be.
 

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