Finding sales history online
Sales history is typically easily available — often discoverable on any of the various online home sales search platforms or in person, usually at the office of the recorder of deeds. The recorder’s office will likely have electronic and paper files for you to search.
The records should indicate who previously owned the home, how much they paid when they purchased it, and the current owner’s remaining mortgage bill (if applicable). Lenders sometimes use this information to target owners for refinancing.
Tax history
Tax records are kept on properties to confirm that taxes have been paid and that the amount paid was correct for the assessed value. When a house is sold, the assessed value is recorded again based on the new appraisal (which should be higher than the previously recorded value; otherwise, your house will have depreciated).
A tax history search will tell you the property’s value at the time of assessment, past taxes paid, whether any taxes are due, and if there are any liens on the property. A lien is placed on a home when the owner owes money to a lender, the IRS, or possibly even a contractor who did remodeling work. Even homeowners associations (HOAs) can place property liens for unpaid dues or assessments.
Direct assessments are also something to watch out for, as they can add thousands of dollars in ownership costs each year, according to Daniel Del Real, a top real estate agent in Modesto, California, who sells homes 66% faster than the average agent in the region.
“Direct assessments — buy a property in a certain location, and there could be Mello Roos [infrastructure taxes] and bonds that directly get put on the homeowners, which could be anywhere between $2,500 to $5,000 a year in additional expenses.”
If there are liens, your lender might not approve a mortgage loan for the property; you’ll need to work out the issue with the seller as soon as possible — you don’t want to assume their debt!
Depending on the age of the home and how far back the tax records go, you might not be able to find everything you want online. In the case, it may be worth a research trip to the assessor’s office.
One thing to remember as you search: sometimes, names are entered incorrectly into the database, so try alternate spellings. For instance, if the name you want to look up is hyphenated or has a plural designation, such as “Samantha Rivers-Smith,” you might try the following variations:
- Samantha Rivers-Smith
- Samantha River-Smith
- Samantha Smith-Rivers
- Samantha Smith-River
- Samantha Smith
- Samantha Rivers
- Samantha River
Deed history
Typically, a deed search will start with your county clerk, recorder, auditor, or state registry of deeds; these offices might allow you to search online, but for a complete history, you should visit the office in person and request any physical records available.
You’ll want to look for recorded encumbrances, particularly liens or easements. An easement is the right for a party or entity to use someone else’s land. Subdivisions often have defined easements for utilities: you allow the utility service to exist on your property. Another example would be if the house straddles a public road — the portion of your property available for the public to use on the road is the easement.
A lien is a claim someone else has on the property; for instance, the lender of the home loan holds a lien against your property until you make all your mortgage payments in full, and if you don’t, it has the right to repossess or foreclose on the property.
