Subdivision issue/ county plat unregistered

[Tony Pic]

I am in the middle of having a new 2000'sqft 3/2 home built in Harper. No HOA. I applied for my septic permit. I have 6.52acs. Not needed in Kerr co if you have 10 plus acs. This land was part of a 30 ac subdivision in 2004. I purchased property in 2013. County is telling me a plat was never filed with county and I need to have the land surveyed and registered at a cost of $3500.
Now...I had title insurance when I purchased it in 2013 and again title insurance when I closed on a builders loan with Arrowhead Bank in Fredricksburg last March.
My question...Do you think this should have been caught by the title companies? Now I have a $3500 cost to resurvey property and file a plat. I am thinking I should NOT have to pay.
What say the Green Screen?

[bigbad243]

Maybe, depends what they found and disclosed to you. You will need to look carefully at all of the docs.

[tps7742]

The last couple of properties I bought outright and used a title company they registered it at the county clerks office. Now I had to have a survey description etc in my specific case.

Have yo contacted the title company you used to buy the property?

[BertramBass]

Were you provided a stamped survey on the original land purchase?

[Tony Pic]

The last couple of properties I bought outright and used a title company they registered it at the county clerks office. Now I had to have a survey description etc in my specific case.

Have yo contacted the title company you used to buy the property?

Yes. I am filing a claim. Not yet with the title folks who did the bank loan.

Were you provided a stamped survey on the original land purchase?

No sir. Never received a stamped survey. Hmmm. Guess I should have known then issues might arise. But even so. TWO title companies missing it?

[RiverRat1]

I thought you had to have a survey in order to get a loan. Did you pay cash for the land?

If there is no plat how is the County charging you taxes on your 6.52 acres? They have to have something.

[tps7742]

As buyers we hire the title companies with lawyers to avoid any legal issues. This could happen to anyone imo, sounds like you are headed in the right direction.

We built a home on rural property in 2016 and a stamped survey was a requirement on our builders loan if I remember correctly. At least on closing I know it was a requirement even though I had owned the land since 99.

[Tony Pic]

I thought you had to have a survey in order to get a loan. Did you pay cash for the land?

If there is no plat how is the County charging you taxes on your 6.52 acres? They have to have something.

Yes...I paid cash when I bought the land and I agree. They took my tax money each year since. So they have to know. I have a address. The assessor was out here already...reassessing
It is nothing but a money grab.

[RiverRat1]

Maybe an agent will chime in soon. I wouldn't think a person could divide 30 acres and sell it off without having it surveyed and platted.

How did you know you were buying 6.52 acres?

[LukeDuke]

It's possible to buy a piece of land that has been surveyed but not platted. When you buy this way someone in the process will typically let you know before you are caught off guard...but you definitely find out for sure when you apply for a permit.

Often times the plat would be applied for in the beginning for all the lots at once. I would ask other neighbors about their experience.

There are exceptions to platting that are allowed (according to lot size and access mainly) . Maybe your neighbors were granted an exception and you can pursue the same exception.

Good luck!

[BrianL]

Seller should have the a plat for the property.

https://info.courthousedirect.com/blog/bid/366438/platting-laws-in-texas-101

[Tony Pic]

I have a appt with county commish to apply for n exemption.

[J Wales]

Hey Tony,

I'm sorry to hear about your situation. I'm in the title business and see this occasionally. Here's the deal:

First of all, there is some confusion in this thread about a survey plat versus a subdivision plat. When land is surveyed, the surveyor will typically provide a map or plat showing the boundary lines, improvements, etc. Some people refer to that as a plat.

When land is subdivided, if the lots are less than 10 acres, most counties require subdivision plat be recorded in the deed records that shows the location of each new lot. Typically, the plat will name the subdivision and assign each lot a lot number or letter. This is the type of plat the county is referring to in your situation.

When the 30 acres was subdivided, if the subdivision regulations required a new plat be filed, the developer should have replatted the property. It sounds like that did not happen. It is possible that the county did not enforce that regulation at the time, and that they are going back now and requiring it any time someone files for a permit. I have seen that happen here in Abilene.

Regarding your question about whether or not the title companies should have caught this...this is not an issue that is typically covered by title insurance. There is a standard exception in all title policies in Texas for government regulations affecting the use of your property. For example, a title policy doesn't insure about zoning uses. I imagine if you file a claim, it will be denied based on this. Title insurance is there to insure that you own the property...that nobody else has an ownership interest in it, and there are no prior debts, liens, back taxes, undisclosed easements, or other similar issues. Having said all of that, I do think a really good title company would be on the lookout for this issue and would try to point it out to you, at least on the purchase transaction. They would probably not be thinking about it on a construction loan (because you already own the land).

[Tony Pic]

Thanks y'all for the responses. I spoke with the county commish and he is looking into it. Fingers crossed.

[Killer]

Hey Tony,

I'm sorry to hear about your situation. I'm in the title business and see this occasionally. Here's the deal:

First of all, there is some confusion in this thread about a survey plat versus a subdivision plat. When land is surveyed, the surveyor will typically provide a map or plat showing the boundary lines, improvements, etc. Some people refer to that as a plat.

When land is subdivided, if the lots are less than 10 acres, most counties require subdivision plat be recorded in the deed records that shows the location of each new lot. Typically, the plat will name the subdivision and assign each lot a lot number or letter. This is the type of plat the county is referring to in your situation.

When the 30 acres was subdivided, if the subdivision regulations required a new plat be filed, the developer should have replatted the property. It sounds like that did not happen. It is possible that the county did not enforce that regulation at the time, and that they are going back now and requiring it any time someone files for a permit. I have seen that happen here in Abilene.

Regarding your question about whether or not the title companies should have caught this...this is not an issue that is typically covered by title insurance. There is a standard exception in all title policies in Texas for government regulations affecting the use of your property. For example, a title policy doesn't insure about zoning uses. I imagine if you file a claim, it will be denied based on this. Title insurance is there to insure that you own the property...that nobody else has an ownership interest in it, and there are no prior debts, liens, back taxes, undisclosed easements, or other similar issues. Having said all of that, I do think a really good title company would be on the lookout for this issue and would try to point it out to you, at least on the purchase transaction. They would probably not be thinking about it on a construction loan (because you already own the land).

This is spot on with most county development and explaining the difference between a survey or a subdivision.

Just remember in the county you are dealing with the commissioners/commissioner's court and in the city limits the local city's Planning and Zoning Department. Sometimes it can overlap if you are along the edge of the city limits and in the city's ETJ area.