It’s closing day. Say cheese! All those photos of smiling faces on closing day offer proof that most folks are delighted to be closing on a home. Either they’re getting the keys to their new property or they’re getting a check for the sale.

Before the popularity of social media, most people mailed out moving announcements to let friends know they’d bought a home. Today, social media now plays a dominate role in announcing a move.

In this age of selfies and sharing, many homebuyers, sellers, and agents like to announce this kind of cheerful news with a closing photo. Just check out the social media posts on popular sites to find friends and families celebrating big events in their lives. Buying or selling a home is one of those big events.

“It’s a major milestone in your life,” says Kimberly Rote of Allie Beth Allman & Associates. She rates buying a home up there with getting married or having a baby.

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It’s Homestead, Sweet Homestead in the State of Texas. Our Texas constitution can help prevent Texans from becoming homeless if they are in a financial bind. Texas homestead protection laws guard your homestead against foreclosure by judgment creditors such as credit card holders, bill collectors, or winning parties in lawsuits.

This special protection from creditors only extends to the homestead. There are a lot of legal definitions of a Texas homestead, but basically, it is a primary residence owned and lived in by a family or single adult. You can only have one homestead entitled to be exempt from seizure by claims of creditors. If the property is not a homestead, the creditor has the right to go after that property to satisfy a lien.

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Assigning Contracts

Assignment of a real estate contract is looked upon with suspicion by lots of folks. While it is not legal in all states, under Texas law, contracts are assignable unless there is a specific clause in the contract that prohibits it.

There are some sellers who become upset when they discover that the person buying their property is not really the person buying their property. That their buyer has sold the right to purchase the home to someone else at a higher price.

Assignment of a contract is when someone enters into a written agreement to purchase a property from a seller and then that person assigns their interest to someone else. Typically, this is done when the original purchaser is a wholesaler. We will call them the Assignor. They find a property, put the property under contract and then find someone else (an Assignee) to whom they sell the contract for a fee.

The Assignor hands off the contract’s benefits to the Assignee while the property is still under contract. They may do this without the consent of the seller. But … there’s always a but.

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countdown to closing

By Lydia Blair
Special Contributor

The contract has been signed by both buyer and seller. Now it’s the Final Countdown. Cue music. Daa! Da-da-daa!

There are several clocks that start ticking towards closing. They all start and stop at different times. Some clocks count the business days while others count the calendar days. Here’s a simple breakdown of the countdown to closing:

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By Lydia Blair
Special Contributor

Home buyers often like the sense of protection they feel when getting a home warranty on the property they are buying. Until they discover their home warranty is much less effective than expected.

Seasoned and savvy buyers know that a home warranty policy offers limited coverage. They aren’t all-inclusive. In my opinion, some are kind of useless.

Why hate on home warranty companies? I order a lot of home warranty policies as part of my job. And I’ve had home warranty policies on my own properties. Seems like we all have stories of rejected claims and paltry payouts.

Most homeowners who get a home warranty policy do so at the time they purchase a home. Sometimes they negotiate for the seller to pay for a one-year policy as part of their purchase contract. That may be the best reason to get one.

“Any person can buy a home warranty in most cases,” says Julie Jones, Vice President of Real Estate Sales for Nations Home Warranty. “There are different plans and different pricing. You might get your best deal if you’re getting it at the time you are buying a home. “

Just what are home warranties and what do they cover?

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By Lydia Blair
Special Contributor

Lots of folks are dying to buy or sell a home. They may be eager, desperate, impatient, or anxious. However, they’re not literally dying.

Except when they are.

Yes, it has happened that a buyer or seller dies while they have a property under contract. They could die the day after the contract is signed or as they are walking into the title company on closing day. Both of those scenarios have occurred in offices where I’ve worked and it’s awful for everyone.

But what happens to the deal?

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By Lydia Blair
Special Contributor

Despite the sound of the name, there is nothing secretive or hushed about ‘Quiet Title.’ This is actually a legal action to ‘quiet the title’ under Texas law.

Quiet Title refers to a lawsuit to clarify the ownership of land and the validity of any liens on a piece of property. Legal action to quiet title is basically a suit filed to establish the true ownership of real property.

Typically, the reason for a quiet title lawsuit is to remove a cloud from the title. A cloud is any potential claim to ownership of a property such as a lien, encumbrance, mortgage, legal dispute, tax levy, partial ownership claim, etc. These are usually discovered in a title search of the property conducted by the title company or title plant. 

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