Bank owned foreclosure

[Ampster]

The Quitclaim Deed
The Quitclaim Deed provides the least protection for the buyer of the four main types. Its uses are very limited.
........
The General Warranty Deed provides the highest level of protection for the buyer. There are significant covenants or warranties conveyed by the grantor to the buyer/grantee.
......

That is why I was inquiring about the form of deed. He got a quitclaim deed so the bank didn't warrant anything but they did provide title insurance. Now that he has confirmed he has title insurance he should have the title company communicate with Tesla. A quick read of the policy, particularly the exceptions would clarify. A question for the poster; Did you obtain a loan when you bought it? If so the lender relied on clean title as well and the lender will all go back to the same title policy to make sure their priority is not jeopardized.

[PNW_Steve]

The Quitclaim Deed


The Quitclaim Deed provides the least protection for the buyer of the four main types. Its uses are very limited.

With a Quitclaim Deed, when the deed is properly completed and executed, it transfers any interest the grantor has in the property to a recipient, called the grantee. The owner, or grantor, then terminates (or quits) any right and claim to the property, thereby allowing the right or claim to transfer to the recipient/grantee.

Unlike most other property deeds, a Quitclaim Deed contains no title covenant title and therefore offers the grantee no warranty to the status of the property title.




The General Warranty Deed provides the highest level of protection for the buyer. There are significant covenants or warranties conveyed by the grantor to the buyer/grantee.

A common question about deeds, in general, is the nature of a general warranty deed and what rights it conveys to the buyer. In all cases, a real estate buyer is best protected by a general warranty deed. The seller or (grantor) conveys the property along with certain covenants or warranties. It is the grantor who is legally bound by these warranties

[Ampster]

I have stated, we do have title insurance, it's required in MA. I just checked and it is a quitclaim deed. This was a true bank owned foreclosure.

Sorry, I missed that. In that case, the title company should be dealing with this issue because they guaranteed your title free from encumbrances. I believe a UCC filing is considered an encumbrance.

[J.P.M.]

With respect to the value of installation, what Tesla now has on the books for a leased system and what an equivalent purchased system would cost is not going to be the same. Reportedly the business model of these firms was to front load costs into the installation cost to maximize the incentives they would receive on the installation. Then there is the question of how much of a discount or premium that Tesla paid for the assets that they bought from the prior company.

As for removing the equipment if its proven that they have a right to remove it, you have the right to have the roof restored to original condition and that gets difficult as its highly likely that any warranty on the original roof was voided when the mounts were installed. In theory the solar firm would have to take over responsibility for leaks. Once they pull the equipment, the homeowner is now left with either the mounts still installed with no warranty or patch job with no warranty.

Ahh, more examples of the joys of leasing not talked about by peddlers.

[peakbagger]

With respect to the value of installation, what Tesla now has on the books for a leased system and what an equivalent purchased system would cost is not going to be the same. Reportedly the business model of these firms was to front load costs into the installation cost to maximize the incentives they would receive on the installation. Then there is the question of how much of a discount or premium that Tesla paid for the assets that they bought from the prior company.

As for removing the equipment if its proven that they have a right to remove it, you have the right to have the roof restored to original condition and that gets difficult as its highly likely that any warranty on the original roof was voided when the mounts were installed. In theory the solar firm would have to take over responsibility for leaks. Once they pull the equipment, the homeowner is now left with either the mounts still installed with no warranty or patch job with no warranty.

[Ampster]

........
From multiple attorneys i have talked to and what i have been able to read this is still very new case law and a "sticky" area. I will keep everyone updated, and will not contact Tesla 😊

To me the fundamental issue is whether there was a foreclosure that wiped out the UCC filing. I am not sure it is about case law as much as it is about what the facts are. Also the one question you have not answered that might shed light on the subject is whether you have title insurance? What kind of deed did the bank give you? Was it a warranty deed or a simple quit claim deed? The big letters at the top of the deed might tell you someting about what kind of deed it was.

[solarix]

I would wait till any legal action forced your hand, but in any case call Tesla's bluff. They are in a bad position and are hoping you (the new homeowner) will sign up with them. If they do get some legal recourse over you, tell them to come and remove the panels as they really don't want to do that. Used solar equipment is practically worthless and they don't want it. Offer any leasing company pennies on the dollar to give you ownership of the system and they will generally accept the offer.

[MrDodge]

I have no idea why I feel so compelled to reply to this thread. I know nothing about the law, never even been in a courtroom. But if things have transpired the way you say, I wouldn't do anything....at all......nothing........zilch........nada. In my eyes you've done nothing wrong.

You bought a foreclosure, have a clear title. It's a done deal. If others want to contest it that's fine, make them prove it. Then whomever dropped the ball in your transaction can be held responsible.

I would NOT contact Tesla ever..or an attorney until someone forces your hand.

I would make copies of the clear title documents.

Good Luck

[scrambler]

Definitely do not make the first move, and wait for the legal stuff to clear who has what right.

[Ampster]

.............

So offering like 6k is probably not going to happen 🤣

I would let them make the first move, especially if your counsel says their interest has been wiped out by the foreclosure. If that is the outcome, then they are facing a complete write off and might take even less.

[scrambler]

I never said that

A fair offer could be one of two things.

The difference between the cost of installation minus what the previous owner already paid.

You would need to find out how much the previous owner paid them in total (how many monthly payment of how much)

Or based on how old the equipment is, a deprecated value of that equipment (panels plus inverter + rack &misc is probably around $17k new)

[scrambler]

does anyone have any idea how much a 28- 34 panel system costs? I have ZERO information about the system on the roof, just that it works and has worked and that it was put on in 2016.
.

It depends on the panels model.
They usually range from $190 per panel to $350 per panel.
But an installation cost is not just about the panels, but the inverters, electrical and the installation labor.
What is considered today a reasonable all inclusive cost before incentive is $3 per Panel Watt.
assuming these are 300W panels @ $300 per panel, that is a panel only cost of $8,400 to $10,200 and an installation cost between $25k to $30k

[PNW_Steve]

If you paid for a title policy and the title company failed to find encumbrances they will have some liability.

My best advice is to listen to your attorney and not to me.......

[Ampster]

DO NOT contact Tesla. Take the letters to the title company that warranted you clean title and let their lawyer settle it. You bought and paid for a clean title, it's their job to honor their warranty.

I'm not a lawyer and don't play one, but I am a homeowner and this is EXACTLY what title insurance is for.

That is good advice if you have title insurance like we have in California. I guess it depends on who told you that title was clean. Do you have title insurance?

My understanding of UCC filings is that the property owner would have to sign. Another possibility is that it was not a true foreclosure and that the previous owner may have given the bank a deed in lieu of foreclosure. The above is not intended as legal device but questions you may want to ask your lawyer.

if they actually do have the right to come on your property and remove the panels, you may be able to persuade the workers to leave the standoff. Of course that only makes sense if you want to replace the Solar City sole with your own and if the subsequent installer could use them.

[Mike90250]

Oh I am sure it is not over with Tesla, but at this point in time they have sent us two letters to "current home owner" and I tried to call the woman back who wrote the letter yesterday, and go figure she is no longer employed with Tesla as of April 10 and her mailbox isn't being monitored.

I do not want to sign a lease with Tesla, I do want my roof to not get destroyed by the removal of the panels. I'm serious to see what the lawyer says Tuesday.

i did read the other thread, and there were a few differences from one situation to the other.

DO NOT contact Tesla. Take the letters to the title company that warranted you clean title and let their lawyer settle it. You bought and paid for a clean title, it's their job to honor their warranty.

I'm not a lawyer and don't play one, but I am a homeowner and this is EXACTLY what title insurance is for.