Man Claims $300,000 Home for $16 in Texas

[Hitman]

YES! Rock on for that guy, although the Neighbors ARE PISSED!!!

http://rollingout.com/news-politics/man-claims-300000-home-for-16-in-texas/

Kenneth Robinson could be the owner of a $300,000 home and he only paid $16 for the privilege. Robinson did months of research on a Texas law called “adverse possession.” The law states that the “title of a another’s real property can be acquired without compensation by holding the property in a manner that conflicts with the true owner’s rights.”

Robinson found an abandoned $300,000 mini-mansion in Flower Mound, Texas and claimed ownership of the home for $16 after filing for it at the Denton County courthouse. According to reports, the original owner allowed the home to go into foreclosure and the mortgage company that owned the home went out of business. Although there is no electricity or running water at the home, Robinson has moved his belongings into the home.

However, his neighbors are infuriated. They have attempted to call the police on Robinson and get him arrested. Police showed up to the home, but were unable to arrest Robinson because of the adverse possession law. They are seeking help from real estate agents and attorneys to get Robinson removed from the home.

If the original owner fails to pay off the $300,000 debt on the house, Robinson will own the home in three years.

Should Robinson’s neighbors be upset, or are they complaining because he found a loophole?

–amir shaw

 

[whitsend]

YES! Rock on for that guy, although the Neighbors ARE PISSED!!! jealous.

http://rollingout.com/news-politics/man-claims-300000-home-for-16-in-texas/

FIFY

Neighbors are mad they didn't know to do this first.

 

[jimdana1942]

neato.

 

[I_FLY_LOW]

I say good for him...
The previous owners should have not gotten themselves in over thier heads in a house note like that...
Screw the mortgage company, anyway...

 

[Blackhawk]

Louisiana has (or had) a similiar law. I seem to recall from a real estate class there was mention of the law, with different timeperiods for "unopposed" or "opposed" possession.

 

[edman87k5]

Democrat circle. Another way of getting something that you did not work for.

 

[Emperor]

Gee, I wonder who gets stuck with the defunct mortgage?

TAXPAYERS!

Not Tax Takers, Tax Sharers, Tax Users, Tax Evaders, Tax Sponges, Tax Wasters, or Tax Collectors!

 

[I_FLY_LOW]

How is that?
Was the mortage federally insured or something?

 

[edman87k5]

Just a stab at it, I may be off.
Joe defaults on a mortgage that he owes 250k on. Tyrone steps in and weasels the abandoned home for cost of filing a paper. Mortgage company is stuck with a big bill, no collateral and no payer. They can sue joe, but he will just die in debt. They write the debt off as a tax loss. That tax loss WILL be made up somewhere, any guesses who will pay it? Ding, people that pay taxes.

 

[I_FLY_LOW]

In this instance though, the mortgage company went out of business.
Did they write the debt off, prior to going out of business, in this case, though?
Usually in the foreclosure state, they're still trying to sell the property, and will for some time to come.
It was claimed to be abandoned, at this point, according to the article.
Tyrone did a little paperwork on an abandoned property, and got the house, for paperwork costs.
Now time will tell, if he legally gets to stay there, what will happen to the property...

 

[03protege]

It says he will own the home in 3 years. I wonder if that's a grace period where they try and contact the original owner or something along those lines?

 

[Hitman]

It says he will own the home in 3 years. I wonder if that's a grace period where they try and contact the original owner or something along those lines?

 

[Nomad.2nd]

Good for him.

 

[edman87k5]

For some reason I doubt a mortgage company, most probably holding millions worth of securities, just "went out of business" and let all of their assets just lay.
By that logic, if my mortgage holder shuts down shop, I own my house free and clear and dont have to repay.
I am sure someone owns the mortgage, whether it is another financier that bought it or inherited, or the government.

 

[JNieman]

Why would the neighbors be pissed? What business do they have giving a crap? It ain't their property.

Also, the mortgage company WENT OUT OF BUSINESS... so no... no one is getting stuck with the bill. There is no bill left... it's no longer being pursued.

 

[edman87k5]

I wonder if he was being taxpayer funded while he "spent months researching" this?

And for the record, I didnt expect him to be black.

 

[Rahllin]

So, he has to live there for 3 years with no electricity and no running water? That sucks. I wonder if he can't afford utilities or if he can't get utilities because he doesn't own the house.

 

[edman87k5]

So, he has to live there for 3 years with no electricity and no running water? That sucks. I wonder if he can't afford utilities or if he can't get utilities because he doesn't own the house.

My guess is no job to pay for them. And I also guess he has a criminal record that might hinder a good job, hence his taxpayer funded "research".
IIRC, squatters rights or whatever they are here have always been in existence. I thought it was 10 years though.

 

[delsolcharlie]

So, he has to live there for 3 years with no electricity and no running water? That sucks. I wonder if he can't afford utilities or if he can't get utilities because he doesn't own the house.

probably both..

 

[davidd]

Not knowing the facts, this is only a guess. But having worked for mortgage companies, what likely happened is that the mortgage was serviced (payments collected) by the company that closed shop, and owned by outside investors. The "outside investors" could be Fannie Mae or Freddie Mac (i.e. the taxpayers) or even your local pension plan that bought mortgage backed bonds as an investment (i.e., basically still the taxpayers who will have to make up the loss of investment income). So, no, this is not a no-loss situation. Someone will be out the amount of payment that is due, and it will most likely be the taxpayers that make up the loss.

When a mortgage company goes out of business, lots of things fall behind while the records are transferred to someone else. But eventually, someone will emerge with a proper claim to the property. Maybe not in time to prevent adverse possession claim – I don’t know the relevant law. But if so, that is a failing in the law that can be changed.