Detailed Information

How to Protect Yourself if your Property is being Claimed by the Government

Although the formal eminent domain or condemnation process begins when the condemnation complaint is filed, activities that take place prior to the initiation of a condemnation lawsuit often have a significant effect on the value paid for the acquired property. Decisions made at the beginning of the acquisition process may have a long-reaching effect on the final resolution of the case. The importance of retaining experienced counsel at the initial stages cannot be overemphasized.

1. Retain an Attorney – A Maryland eminent domain lawyer can better inform you what your are up against, demystify the acquisition process, and give you an honest opinion as to whether you are better off challenging the government’s ability to take your property and/or to challenge the value set forth by the government’s appraiser (i.e. a valuation challenge). Staiti Law accepts Valuation Challenges on a Contingency Fee basis.
2. Get an Independent Valuation of Property – The government’s acquisition agent will always explain that the offer being made is based on an appraiser’s determination of fair market value. However, the property owner should remember – the appraiser determining the government’s fair market value was hired by the government. As such, another appraiser could have a different and significantly higher opinion of fair market value. Do not delay in scheduling your independent appraisal. Timing your appraisal close in time to that of the acquiring agency will aid negotiations or the jury.
3. Let your Attorney Negotiate with the acquiring agency – Both the acquiring agency and the government will rely on the appraisals completed by their respective experts for the negotiation process, and if necessary, valuation trials. By negotiating through counsel, you can avoid the costly mistakes of not knowing the strengths and weaknesses of the appraisals, accepting an unfair offer, or making statements that are later held against you. Additionally, a skilled negotiator may help limit the issues to be presented for trial and sometimes, provide you with interim financial relief.
4. When Necessary, Prepare for a Valuation Trial – A Maryland eminent domain attorney can assist you in dealing with the inequality in bargaining positions, which often may only be possible through a court proceeding. In court, both the governmental agency and the property owner may present evidence that will reflect their opinions of fair market value, and where appropriate, challenge the opinions of each other’s respective appraisers.

Ten Signs of a Bad Contractor

1. No License – Maryland issues licenses for custom home builders and home improvement contractors alike.  If you deal with a licensed contractor, there are state agencies and funds that can help you and insurance is required.  The same can not be said for the unlicensed contractor.
2. The Far Lower Bid – This could be a sign that the contractor is inexperienced with the work scope, intends to use shoddy materials, or intends to find reasons to claim out-of-scope services.
3. No or Questionable References – Get references for the work actually being performed.  Whether or not they were great at replacing windows has little to do with your bathroom renovation.
4. Desire to Avoid Permits – The homeowner is always liable.
5. Desire to Avoid Contracts – A written contract is usually a legal requirement.
6. Contract Requires More Than a 33% Deposit – Look out for the 10% Deposit plus 33% due upon project start as well – that’s a 43% Deposit.
7. Excess Materials – If you are “getting a discount” because they over-ordered on a previous job, ask yourself if the items that were over-ordered make sense.  Why would they have over-ordered windows?  Shouldn’t an experienced contractor know how many square feet of materials to order?
8. Absent or Late – Sometimes projects get delayed because of a shipping error and people do get sick, the test is how often.
9. Scare/Pressure Tactics – “You don’t want the County involved – do you?”  “There’s no time to get other estimates, this could collapse at any minute.”  It’s your home, the decision of what to do and when should be yours.
10. Trust Your Gut – If you get a bad feeling, get help.

What is Title Insurance

Insurance protects against unexpected and unforeseen losses. We purchase car insurance to protect us in the event of an automobile accident. We carry hazard insurance on our homes to protect against losses from fire, flood, theft, and other mishaps.

Similarly, title insurance protects against losses that might result from defects in title. For example, the person who owned your property 40 years ago granted an easement over your land to a neighbor, but it wasn’t recorded properly in the land records. As you begin to stake out the site for your new in-ground pool, your neighbor comes by to see what’s going on, and when he learns of your plans, he informs you that you can’t put your in-ground pool there because it would interfere with his easement. This is a claim against the title to your property that you were previously unaware of and which affects your ability to use your land as you desire.

Title insurance is available to lenders and to buyers. The lenders’ policy protects the lender even though the cost is usually paid by the buyer (most lenders require this as a condition of making the loan). The buyer’s policy protects the buyer. Buyers need to be aware that although they may be paying for a lender’s policy, this policy does not protect the buyer’s interest in the property; buyers need their own policy to be sure their interest in the property is protected. There are different levels of title insurance; some policies cover basic defects and cover only defects from the date of issue backward in time (issues related to the acts of previous owners), others offer coverage that is more broad than a basic policy and protects against things like future issues such as zoning, in addition to past defects.

Common causes of defects in title may be things such as unrecorded or incorrectly recorded deeds and liens, estate matters, and human error, each of which could give someone else a valid claim against your property. While title companies make every effort to discover and clear any defects which may exist, Title Insurance provides you with peace of mind knowing that your investment is protected should something unexpected arise, and the comfort that your title insurer will defend your title, and if necessary, settle any costs or claims that may have resulted.