Residents of Wayne County, including the city of Detroit, especially life-long renters with no experience of property ownership, need to take the proper precautions when purchasing homes on land contracts.
That's the key message conveyed to community residents at a Town Hall Meeting at Plymouth United Church of Christ On Saturday, Sept. 24, sponsored by Legal Aid and Defender Association (LAD) in cooperation with the Foreclosure Defense Clinic of the University Detroit Mercy School of Law; Moratorium Now! Coalition Against Foreclosures, Evictions & Utility Shutoffs; United Community Housing Coalition; and Vanessa G. Fluker, an anti-home foreclosure attorney.
Currently, LAD is representing victims of what appears to be a major residential property scam in the city and the county. Out-of-state companies appear to be in the business of buying thousands of foreclosed homes for as little as a dollar each, then selling them to residents on land contracts for thousands of dollars without informing purchasers about past-due property taxes, utility bills or other liens on the homes that become the responsibility of the new owners.
LAD has filed a lawsuit in Wayne County Circuit Court in such a case claiming damages of more than $25,000 and is preparing to file additional lawsuits on behalf of other purchasers of these land contracts.
"We want residents to be aware of the problem and take the proper steps to protect themselves," said Michelle L. Johnson, managing attorney of LAD's Detroit/Wayne office. They include title searches to make sure sellers have title to the properties, title insurance, and determining whether there are liens for unpaid taxes and utility bills, she said.
Anyone seeking legal services can call (877) 964-4700 or visit http://www.ladadetroit.org.
Published: Wed, Oct 12, 2011
