Ontario Tax Sale Property Forum
Tax Sale Forum => Questions and Answers => Topic started by: Dave2 on July 25, 2009, 01:19:17 PM
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Getting ready in Advance:
There is a tax sale coming up for a nice piece of property (waterfront) but it has a lot of right of ways and easements on the deed. I expect as a result if you try to do anything with it you are headed to OMB for sure because all of the easement holders will oppose you. (total number of easement holders is over 50) (I will bet a beer or maybe even a case) or in Frank's case an expensive high quality drink like grappa (You will need a full bottle every time when you see the legal and consulting bills).
Has anyone had experience with likely cost range? This one will require a planner; environment engineering survey and surveys (regular and three dimensional) and legal for sure. I am trying to assess likely costs so I can see if it is even worth bidding.
In addition to easement holders you will likely be opposed both by Municipality and the local
Conservation authority?
Finally any one familiar with what happens if they want to appeal an OMB ruling to the courts?
One of the other risks is the fools who will bid on this one. It would not surprise me if it attracts over 100 bids. If there were no easement issues I would expect this property's winning bid at a tax sale to be higher then $150,000.
On a similar property recently that was sold (through a realtor) with a dam and mill pond with no engineering data base (150 year old dam) My partner likened it to a married guy meeting a seductive red head at a party. You can have a great party but waking up the next day you ask yourself what have I done?
The engineering assessment alone on the dam was $20,000. (Dams are risky cause if they wash out you are liable for damage to downstream properties. ) In the mill pond case I lost it because a Toronto lawyer came in and closed in 3 days (cash).
Dave2
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I presume this is galway ..the costs are impossible to nail down since it is entirely up to the town staff. They like you and like your idea, costs will be reasonable and it should go smoothly..
Staff doesnt like you, or more likely in a small town..you beat his brother/father/drinking buddy on the bid...you are screwed. you can spend 50K in a blink and get absolutely nowhere and there is absolutely nothing you can do..they are government staff ,report to nobody and cant lose their job
All the neighbours will oppose anything you do as you will devalue their property if you build and also you beat them in the bid ..If they can stop you, you will be forced to sell to them for less then you bid ( if they can they will try and if the deed is dirty,,you are screwed)
If you go OMB and the town is on your side, it wont be too expensive..however if the town is against....forget it. you can run 6 figures
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PFM:
Actually this is not a currently listed tax sale.
Coming up later this year.
It really makes it easier when you get a copy of the Ontario Gazette 4 months in the future. ;D (Its the only way I can compete against Frank and the other High rollers) (Took me a heck of a time to find a subscription and it is not cheap)
Of course you do run the risk of redemptions.
I will bet you however it won't be redeemed. However we have to go offline because I am not prepared to disclose publically what the hell I am talking about.
Dave2
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Unless the upside is HUGE, and the probality of the legal passing is greater then 50%, I would stay away.
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Unless the upside is HUGE, and the probality of the legal passing is greater then 50%, I would stay away.
I would avoid unless beyond huge..and 99 % . I had an omb in the mid ninetys...Old couple lived 10 miles away from my building site , thought my land should be used as a ..botanical gardens because she thought the town needed one and lucky me ..she picked my acreage .. It took two years to get to the omb ..hearing lasted one minute before she was tossed out..
Lucky me losses 2 years, lost my anchor tenants, took a haircut on the deal all because a bored old psycho who suddenly felt empowered for the first time in her life and you could not reason with her as she loved the attention and "power"
Unfortunately you cant sue these morons
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My problem is my associate who gives me the Ontario Gazette in advance charges
every time I consult with him. >:(
http://weeklyworldnews.com/headlines/8069/how-to-sell-your-soul-to-the-devil/
His charges for guaranteed success are quite steep.
As I have to pay in advance don't know if I can come up with enough dough (not to make bread) to pay his fees.
Anyone know of a cheaper alternative?
Dave2
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Have to love the world weekly news...I was gutted when they quit printing the papers.. I used to buy them..damn funny
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Have to love the world weekly news...I was gutted when they quit printing the papers.. I used to buy them..damn funny
I used to by them all of the time as well, pure nonsense, but I enjoyed the entertainment value. I always wondered if someone, somewhere in the US acutally took what they wrote seriously.
PMF1011 is right, the upside must be huge and legal must pass. Just don't ask a lawyer because they have never meet a case they cant win.lol just kidding, but make sure your legal counsel has experience in the field
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Its the only way I can compete against Frank and the other High rollers
Dave2
Dave Also
You've peaked my curiosity. Actually, I stay away from anything bigger than the quarter slots.