House built on wrong Lot

[aussie ken]

Here is something elso to consider when inspecting a house.

I check out the aerial photographs of the subject just to see what is going on around it. How many appraisers would have caught this mistake? Could an appraiser be liable for missing this mistake? It makes me wonder...

http://www.news-press.com/apps/pbcs.dll/article?AID=/20080613/NEWS0101/806130379/1075&referrer=FRONTPAGECAROUSEL

Ah yes.........memories and be warned. The answer is ...YES. My ex-partner valued a 6 bedroom, 8,000ft2 rural retreat set on 6 Lots and totaling 1,500 Acres in the Snowy Mountains area of Australia. Council records, NSW Valuer General Dept, Architect Plans and Owner all stated residence was built on Lot 42 which was about 250 Acres set in the middle of the property with no internal fencing and no recent survey to confirm exact house location. The Bank had mortgage only on Lot 42 and ultimately some years later went MORTGAGEE in POSSESSION........ when Banks Surveyor turned up he found only ONE CORNER of house was on Lot 42 and the rest was on the adjoining Lot..........THE BANK WAS VERY UPSET AND BLAMED ITS VALUERS for its own STUPIDITY. The Bank sued us for losses totaling $1.5Million........we fought hard and eventually settled without predjudice for $3,500!!!

 

[Lobo Fan]

Back in the day I was inthe construction business working on a three story convention center with two levels of underground parking. The ditches for the footings were open and it was raining very hard that day. A supervisor instructed an apprentice to take a string and tie it off to the surveyor's stake at the other end. Instead of tying to the inner stake as he was supposed to, he tied it to the outer stake.

The mistake was not discovered until they went to put in the steel cross supports and they were too short. There was a steel shortage at the time and it delayed the project by three months. The error cost over $1.5 million for the new steel and delays. All over a very simple error.

I remember that day very well. It was raining so hard that all the ditches were full of water and it was almost impossible to walk.

 

[Metamorphic]

Why should he give away his house?

Because an innocent mistake was made and he's not harmed in any significant way. Because its the ethical grown up thing to do. Sure, he can stop his feet and cry and maybe end up with a free house, but the Karma pay back on that would be a real *****. Considering this guy is deep into stroke/heart attack/terminal cancer territory age wise, he should not be tempting fate by being an ahole.

 

[aussie ken]

Because an innocent mistake was made and he's not harmed in any significant way. Because its the ethical grown up thing to do. Sure, he can stop his feet and cry and maybe end up with a free house, but the Karma pay back on that would be a real *****. Considering this guy is deep into stroke/heart attack/terminal cancer territory age wise, he should not be tempting fate by being an ahole.

Couldnt agree more Meta...........this sort of thing happens more than many people realize. The easiest way is to just transfer the deads.........quick simple and clean. Get back on with what life is left and have a laugh about it. But lawyers are involved so no doubt they will drag the process out for as long as possible.

 

[Terrel L. Shields]

The case I remember was a fellow I know inherited his gggrandfathers homestead from his childless uncle which lay near a creek and a bend in a road. A driveway went to the farmstead well back on the farm. Adjacent to it was a notch between the driveway, the creek and road. A fellow bought a few acres in the notch and built a house near the driveway and was told that he was awfully close to the property line and needed a survey. He informed my friend to go kiss a frog and "his" land went to the driveway because the previous owner told him so.
After about 5 years, the guy built a new home and sold that house and the buyer insisted on a survey. Sure enough the property line cut the house in two ..... the fellow had to go to my friend with humble hat in hand and plead stupidity. He paid dearly for that 1 acre or so.

 

[Non Sequitur]

Sure enough the property line cut the house in two ..... the fellow had to go to my friend with humble hat in hand and plead stupidity. He paid dearly for that 1 acre or so.

Good story and point taken. If a title insurance company is involved in the OP they should buy the lot, clear title and sell the vacant parcel. If the owner of the misplaced house has no title insurance offer the swap with a dream vaction or some other sort of carrot. If the old guy doesn't want to budge, he doesn't have to and doesn't have a moral or ethical obligation. While this may have been an innocent mistake, I find it hard to believe it went unnoticed for so long considering a pool guy caught the error.