Real Estate – Law Office of Shannon G. Starr, LLC

Understanding Eminent Domain

Eminent domain is the process by which states and localities have the right to condemn and force the sale of private property usually in order to serve a public purpose. Condemnation is the act of a government exercising its power of eminent domain.

The government must have both a legitimate public purpose for the taking of the property and also pay a property owner a fair market value for the land it is condemning. A legitimate public purpose can be acquisitions for roads, parks, airports and schools.

A property owner will learn their property is sought for acquisition by receiving a notice in the mail. Before bringing a eminent domain proceeding, the government is required to enter into purchase negotiations with the property owner. The property owner does not have to accept the offer.

The property owner has a right to challenge the determination of the value of the property. The valuation of the property is one of the most important parts of the case. Valuations should be made by expert appraisers. Legal counsel should also be consulted through the process.

If the property owner rejects the offer from the government, the government then files a complaint. At that point, the procedure and legal steps for an eminent domain case can be complex. It is important to consult with an attorney at the beginning of the eminent domain process to make sure your rights are fully protected and that you fully understand the process.

The Law Office of Shannon G. Starr, LLC handles eminent domain cases. To learn more, or set up a consultation, contact Shannon at shannon@sgstarrlaw.com.

Disclaimer – The content of this article is intended to be general and informational in nature. It is advertising material and is not intended to be, nor is it, legal advice to or for any particular person, case or circumstance. Every situation is different and you should consult an attorney if you have any questions about your situation.

What do you do after purchasing real estate at a tax sale?

Each year, almost every county in Indiana holds at least one tax sale. Some people purchase real estate at a tax sale, think they got a great deal and that there are no further steps to take.

Unfortunately, that is not the case. The county will issue a “tax sale certificate” at the tax sale. The buyer must go through some more steps before getting the deed to the real estate.

First, a buyer must figure out each person having a substantial interest in the real estate. This includes the prior owner and certain creditors such as banks holding mortgages. A buyer will want to have a title company perform a title search to make sure all proper parties are included in the list.

After completing the title search, a notice needs sent to each person with a substantial interest in the property. There are certain time limits for when this notice must be sent. There are also a number of statutory requirements for what must be included in the content of the notice.

Any person may redeem the real estate within 1 year after the tax sale. The redeemer must pay money to the county and restore the real estate ownership back to the prior owner. The redemption price includes the amount of the tax sale price, interest and you may be entitled to reimbursement of attorney fees and title search fees.

If the property is not redeemed, the buyer must petition the court for a tax deed within 6 months after the expiration of the redemption period. Again, notice must be given to all interested parties. If there are no objections within 30 days after the petition is filed, the court will direct the county auditor to issue a tax deed to the buyer.

Unfortunately, this is still not the end of the road. Most title insurance companies will require the buyer to file a quiet title lawsuit against any person who may have a substantial interest in the real estate. A quiet title action is a lawsuit against everyone who may hold a claim on the real estate and its seeks the Court’s declaration of clear title.

The Law Office of Shannon G. Starr, LLC handles tax sale and quiet title cases. To learn more, or set up a consultation, contact Shannon at shannon@sgstarrlaw.com.