Purchased property some assets not deeded... question.

[dmcc10880]

What is the name of your state (only U.S. law)? TX

My offer to purchase a Freddie Mac foreclosure (condo)was accepted. Great!

The deed includes 3 parking spaces and 1 storage unit.

The owner who was foreclosed upon purchased 1 and perhaps 2 additional storage units after purchasing the property directly from the developer. A warranty deed was not filed for these additional limited common area units.

Freddie did not foreclose on the additional storage units as they were not deeded, so theoretically, they would not convey in the foreclosure purchase.

What recourse do I have against the developer to have them deed to me the additional storage units (worth around $8,000 each)? Or, am I SOL?

My argument would be that I am the successor to the agreement between the previous owner and the developer. However, I can see the developer state that the agreement was directly between them and the prior owner and I have no right to the property.

Opinions?

 

[nextwife]

A foreclosure ONLY includes what was covered by the mortgage, not everything they own. If the units were not covered by the mortgage the foreclosing lender does not own them and cannot deed them.

 

[FlyingRon]

Fixtures (installed lights, fixed appliances, etc...) are part of the property and foreclosure. Other contents are not.

 

[dmcc10880]

Thanks for the responses.

So, who has the right to these units?

The owner of the storage unit(s) is no longer a resident and does not have access to these units and technically can not own a limited common element of the building as he's not a resident.

Would I be the successor owner by virtue of purchasing his unit?

Would the former owner be able to sell them on his own to another resident?

Can the developer convert the units back to their inventory, technically selling them twice?

I'd appreciate your take on this as it affects a number of owners in this building who have purchased additional parking spaces and storage units directly from the developer after the initial purchase of their units.

The developer does not deed the parking spaces or storage units. This could affect a lot of owners who unknowingly have not had their spots deeded to them.

 

[nextwife]

What happens to them depends upon each scenario. Any foreclosure in which an owner made a seperate purchase of parking/storage, and that purchase was NOT covered by the foreclosure, would not include property not foreclosed. Certainly the association may have some recourse to collect condo fees against those units, and lien/foreclose eventually on unpaid fees. A foreclosure cannot include real estate not foreclosed. If you want a non foreclosed asset, make an offer to the owner to buy it (in accordance with conveyance requirments of the association).