When a home sale turns into a family tug-of-war
Question: We gave our 30-day notice at our rental apartment on Wednesday. Yesterday, we learned our apartment was leased, sight unseen, over the weekend.
Today, our buyer’s agent made an urgent call. We are facing a significant issue with the house we are buying. A neighbor has alerted the authorities, revealing that the actual successor trustee of the incapacitated seller lives out of state. The elder son is the legitimate successor trustee, while the younger adult sibling posing as such is a clear case of fraud. We are currently under a purchase contract with the fraudster adult sibling.
This must have happened to other unsuspecting homebuyers. If so, what now? Where do we go from here?
Answer: Find out which neighbor called the authorities. That neighbor must know the adult son’s identity. Your buyer’s agent or the seller’s agent must make contact ASAP.
The adult son, the true successor trustee, may offer to sell you the family home for the same price, terms and conditions. As ready, willing and able homebuyers, the real successor trustee will come to town and take charge of his parent’s affairs. That could work in your favor. Be prepared for any scenario.
Scott Heisey, a Northern California title operations manager for Stewart Title of California, Inc., is making the rounds as a sought-out speaker on escrow and title red flags. Catching questionable acts by family members and others during a home sale or refinance is his specialty.
Title officer Heisey jests regarding older adults, “We’re making new ones every day.” He adds, “But it’s really true because that demographic is, instead of contracting, it’s expanding because people are living longer. And so it’s an interesting thing. It’s because they’re living longer. We’re seeing more financial abuse against them.”
Studies across America show that family members are the most common perpetrators of financial elder abuse. Full stop. For example, the USC Keck School of Medicine cited its study in a 2019 press release by Wendy Wolfson titled “Study: Financial abuse of older adults by family members more common than scams by strangers.” Click here to learn more.
You can inform yourself by viewing my YouTube interview about home-sale issue spotting that is titled: “Navigating Home Sale Hurdles: Expert Insights From Scott Heisey, Stewart Title VP.”
For Housing Market Data in your area, visit my webpage for trends here. Do you have questions about home selling or buying? Full-service Realtor Pat Kapowich is a Certified Trust and Probate Specialist, Certified Real Estate Brokerage Manager, and career-long consumer protection advocate.
Realtor Pat Kapowich, Kapowich Real Estate is based in his hometown of Sunnyvale, California.
Office: 408-245-7700; Broker# 00979413 Pat@SiliconValleyBroker.com